Big Tech Stock Slump Amps Up Pressure to Deliver on Earnings

-- The stakes were already elevated for technology giants heading into this earnings season. They just got a lot higher after the worst week for the Nasdaq 100 Index in three months.How a Routine CrowdStrike Update Crashed the World’s Computers

Heading into the key stretch of announcements, the Nasdaq 100 is up 16% this year after this week’s 4% tumble, its steepest since April. The S&P 500 Index is up about 15% in 2024, with much of the advance generated by the largest tech stocks. The five biggest US technology companies — Apple, Microsoft, Nvidia, Alphabet and Amazon — are facing tough comparisons with the stellar earnings cycles of the past year. Profits for the group are projected to rise 29% in the second quarter from the same period a year earlier, data compiled by Bloomberg Intelligence show.

That hasn’t dampened the mood for the stock, which is up almost 70% from an April low. Tesla investors are pinning their hopes on Elon Musk’s promised robotaxi service. After the company postponed an event initially scheduled for next month, investors will be looking for details on Tesla’s earnings call about progress on the self-driving car initiative.

The tech sector is the only segment where valuations are above historical averages and analysts have still been revising estimates higher, according to Gina Martin Adams, chief equity strategist at Bloomberg Intelligence. That’s created a situation where misses are likely to be punished, she said. Mark Spitznagel told The Wall Street Journal the government's $34 trillion debt would make the stock-market bubble's impact more extreme.Netflix is canceling its $11.99 monthly basic subscription for streaming without ads. Subscribers will need to opt for another option.Forget Fortis Stock: Buy This Magnificent Utilities Stock Instead

Argentina Últimas Noticias, Argentina Titulares

Similar News:También puedes leer noticias similares a ésta que hemos recopilado de otras fuentes de noticias.

Stock market today: Wall Street holds steadier a day after big drop in tech stocksNEW YORK (AP) — Wall Street is holding steadier following the worst day for big technology stocks since 2022. The S&P 500 was up 0.2% in early trading Thursday, and the Nasdaq composite was up 0.6%.
Fuente: SooToday - 🏆 8. / 85 Leer más »

Stock market today: Big tech stocks dive again to halt Wall Street's record-setting rallyNEW YORK (AP) — Wall Street’s record-breaking rally ran into a wall, as worries about potentially worsening trade tensions with China hit stocks of chip companies.
Fuente: SooToday - 🏆 8. / 85 Leer más »

Stock market today: Most of Wall Street climbs on encouraging inflation report, but Big Tech slumpsNEW YORK (AP) — Most U.S. stocks rose after the latest update on inflation bolstered Wall Street’s belief that relief on interest rates may come as soon as September.
Fuente: SooToday - 🏆 8. / 85 Leer más »

Stock market today: Big Tech surges as S&P 500 crosses 5,600 for first timeJerome Powell steps up for part two of his policy update to Congress, with investors on the alert for more clues to rate-cut prospects.
Fuente: YahooFinanceCA - 🏆 47. / 63 Leer más »

Morning Bid: Tech that - Nvidia slump sours market moodThe wave of profit-taking in U.S. Big Tech and AI stocks appears to be gathering momentum, which could depress investor sentiment and risk appetite in Asia...
Fuente: YahooFinanceCA - 🏆 47. / 63 Leer más »