After losing hundreds of billions of dollars in 2022, the third-hardest year for the tech sector since 2008, the tech giants showed impressive performance in 2023, helping them grow their stock values more than ever.
According to data presented by Stocklytics.com, Apple, Microsoft, Alphabet, Amazon and Meta have collectively added a whopping $3,9-trillion to their stock value in 2023, the highest figure in the market’s history.
Tech stocks have dominated the 2023 stock market performance. The rise of artificial intelligence (AI), combined with the improving economy and slowing inflation, has helped the sector come into the spotlight, with many investors jumping back on the tech train. And there were a lot of reasons for that.
The Nasdaq jumped 32% in the first six months of the year, powered by Apple’s rally and Nvidia’s boom, marking its best first half in the past 40 years. But the tech stock’s price rally has continued ever since, helping the largest players in the market to add trillions of dollars to their stock values.
According to YCharts data, the combined stock value of Apple, Microsoft, Alphabet, Amazon and Meta, the world’s five largest tech companies, amounted to $6,17-trillion in December last year. Since then, this figure has surged by 62% or $3,9-trillion and hit more than $10-trillion. Moreover, this represents the biggest annual increase so far.
In 2019, their combined stock value grew by $1,73-trillion. In 2020 and 2021, when the tech market boomed due to Covid-19, the market’s largest players increased their stock value by $2,6-trillion.
However, all of that and even more was lost in 2022, when their stock prices nosedived, bringing a shocking $3,9-trillion combined loss. Still, the record stock price growth in 2023 has helped Big Tech to cover all the losses from last year.
The YCharts data also show Meta was the best performer in the Big Tech group this year. After losing two-thirds of its stock value in 2022, Meta’s market cap has surged by an impressive 188% year-over-year, the biggest increase among the Big Five tech giants. In December 2022, Meta’s stock value was $315,5-billion, and now it’s over $908-billion.
The e-commerce giant Amazon has witnessed the second-largest increase of 84%, driving its market cap to over $ 1,5-trillion, the figure last seen in mid-2022.
Statistics show Microsoft’s and Alphabet’s market caps jumped by 55% year-over-year, helping the two companies add more than $1,6-trillion in value. Apple stocks have jumped 45% since last December, surpassing $3-trillion in market cap.