Elon Musk attends the Met 2022 gala held “In America: An Anthology of Fashion” at the Metropolitan Museum of Art on May 2, 2022 in New York City. (Photo by Gotham / Getty Images)
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Investors lowered the ratings of the world’s largest technology companies during the second quarter as central banks raised interest rates to prevent inflation.
Big tech names became less valuable in the first quarter, with Russia’s invasion of Ukraine slowing down business and increasing supply complications that appeared in the pandemic, causing the broad S&P 500 index to fall by 5 %. The situation worsened in the second quarter as the Federal Reserve went into action with rate hikes. While the S&P fell another 16%, the Nasdaq Composite index, with a lot of technology, fell 22%.
US stocks fell on Thursday to end the second quarter, causing the weakest first half of the S&P 500 year since 1970.
Electric vehicle maker Tesla suffered its biggest quarterly drop since its initial public offering in 2010, as shares plunged nearly 38%. During the quarter, CEO Elon Musk made an offer to acquire the social media company Twitter for $ 44 billion.
Amazon shares fell nearly 35%, the highest since the third quarter of 2001. The company’s first-quarter earnings fell below analysts ’estimates in April as revenue growth slowed. he slowed down. In early June, Amazon said Dave Clark, CEO of the e-commerce company’s global consumer business, was stepping down. In September he will begin as CEO of the supply chain software startup Flexport.
Shares of Google’s umbrella company Alphabet ended the quarter with a nearly 22% drop, the worst results since the fourth quarter of 2008. Microsoft shares fell about 17%, the sharpest decline since the second quarter of 2010.
Shares of Apple fell nearly 22% in the second quarter on the worst performance of shares since the fourth quarter of 2018, when Apple reported a slight guide and the stock market as a whole suffered a strong sell-off.
Meta Platforms, Facebook’s parent company, whose symbol changed to FB’s META this month to coincide with its new corporate identity that reflects a stronger emphasis on virtual worlds where people can transact and interact, saw that its shares fell more than 27%. This was a better result than the first quarter, when the value of the shares was compressed by 34%. In February, the social media operator said its daily active user count (DAU) on Facebook had declined quarterly for the first time.
Drug makers Eli Lilly and Merck, grain maker Kellogg and discount retailer Dollar General outperformed these six companies, with gains of at least 10% during the quarter.
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