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Tech stocks are unstoppable.
Nvidia’s market value now exceeds $5 trillion. Meanwhile, last week’s gains for Apple and Microsoft send their market values above $4 trillion.
Last week’s earnings reports sparked the latest gains for several tech giants. Here are a few highlights to put on your radar.
Alphabet: Revenues jumped 16% and profits grew 33%. The company’s quarterly revenues exceeded $100 billion for the first time ever.
The company is staging a big comeback. Investors had grown pessimistic on Alphabet – believing that Google’s search could be disrupted by ChatGPT. The latest results show that Google is integrating AI throughout the business.
Alphabet stock is now trading near all-time highs.
Amazon: Revenues grew 13% and profits crushed analyst estimates. The cloud business – known as Amazon Web Services – grew 20%.
Amazon plans to increase is spending on AI datacenters. The estimated spending was increased to $125 billion this year (from $118 billion).
AMZN shares had been lagging the other big tech stocks this year. However, shares jumped 10% last Friday after the stronger than expected earnings report.
Microsoft: Revenues grew 18% and profits expanded 13%. The Azure cloud business was the bright spot – experiencing 40% growth.
The company continues to grow its profits – despite a huge investment in AI datacenters. During the quarter capital investments hit nearly $35 billion. Microsoft also announced that it will have a 27% equity stake in OpenAI valued at $135 billion.
Shares of Microsoft hit an all-time high last week.
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Yours in Wealth,
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