In the last week the Big Tech Magnificent Seven they brought home only defeats of MY BAG like it hasn't happened in a long time. Apple lost 3,13%, Microsoft 4,32%, Tesla 4,49%, Meta 5,27%, Nvidia 6,07% and Amazon even 8,27%. Alone A (formerly Google) managed to limit the damage by losing less than one percentage point in a week: 0,96%. Temporary correction or bursting of the high tech bubble after a long rally that took the prices of the Magnificent Seven to often stratospheric levels? No one can say for sure but the slowdown in profits of the Nasdaq giants is certainly a more than eloquent signal, even if almost none of the most accredited financial analysts predict upheavals or bankruptcies.
Big Tech, profits slow down
“Digital is running less fast” but it doesn't seem like the end of the world, even if perhaps the golden age is coming to an end at least for some of the Big 7. We are probably starting to take stock of the rearrangement, repositioning and selection of the species always underway among the giants of American high tech which are the groups most projected into the future and which in the present dominate the Nasdaq and they influence stock markets around the world more than banks, luxury goods and another sector that thrives on innovation and research such as pharmaceuticals. This is why the forecast launched this week is interesting Wall Street Journal, according to which the unbridled race of high tech made in the USA will ultimately have only one winner: Nvidia, which has experienced astonishing growth in recent years and which competes with Alphabet and Microsoft for the record of stock market capitalisation, which came out a little dented from the turbulence of recent weeks.
Big Tech, why is Nvidia in the lead?
But why should Nvidia win the high tech competition? The Wall Street Journal's answer is simple and clear: because Nvidia beat everyone to the punch and understood before anyone else the importance of investing massively to produce the chips for artificial intelligence which are the key to the future. It will be like this? We will know it in the next few years, but having understood before others that chips and artificial intelligence is the game of the century gives Nvidia an indisputable advantage compared to which the stock market tribulations of recent days seem to count relatively.
