Big Tech’s disappointing earnings erase $200 billion in value

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The 'Magnificent Seven' tech companies are posting disappointing earnings, wiping $200 billion off their market value and threatening to push the S&P 500...

— The so-called Magnificent Seven technology companies that have powered this year’s US stock rally are posting disappointing earnings, wiping $200 billion off their market value and threatening to push the S&P 500 into a correction.Apple Plans AirPods Overhaul With New Low- and High-End Models, USB-C HeadphonesGoogle owner Alphabet Inc., Tesla Inc. and Facebook parent Meta Platforms Inc. have all slumped since reporting, with Microsoft Corp. the only bright spot. Amazon.com Inc.

This comes on the heels of Alphabet erasing almost $180 billion in market value on Wednesday after the company’s cloud unit reported a smaller-than-expected profit. The loss was the biggest single-session market value wipeout for the search giant. Earlier in the month, Tesla’s value shrank by $72 billion in one day after its results.For now, the only glimmer of hope among the big seven is Microsoft.

Ruffer, a UK-based fund known for winning bets made in the volatility market, is now hoping for a big upswing in the Japanese yen. Pfizer will still benefit from the 25% stake it retained as well as full rights to the drug outside the US and Japan.Blue-chip TSX banks such has Toronto-Dominion Bank are undervalued and offer you to benefit from a high dividend payout. The post Invest in the Canadian Banks When They Hit This Important Buy Point appeared first on The Motley Fool Canada.

 

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