AI demand, earnings optimism lift tech giants' market value in May


FILE PHOTO: View of an Apple logo at an Apple store in Paris, France, April 23, 2025. REUTERS/Abdul Saboor/File Photo

June 2 (Reuters) - The ⁠world's most valuable technology companies with the exception ⁠of Alphabet added billions of dollars in market ‌value in May, as upbeat earnings outlooks and strong demand for AI chips fuelled a rally in their shares.

Apple, memory chipmakers Micron ​Technology, Samsung Electronics and SK Hynix ⁠led the gains, adding $598 ⁠billion, $512 billion, $481 billion and $377 billion, respectively, in market value. Their ⁠valuations ‌rose to $4.58 trillion, $1.09 trillion, $1.10 trillion and $1.34 trillion, respectively.

In late April, Apple pointed to strong demand ⁠for its flagship iPhone 17 and MacBook ​Neo and announced ‌a fresh $100 billion share buyback.

Samsung reported an eightfold ⁠jump in ​first-quarter operating profit in April, while Micron drew analyst upgrades after saying its 2026 high-bandwidth memory (HBM) chips were already ⁠sold out and next-generation HBM4 products ​were in production.

Microsoft and Nvidia also gained, with their market values rising by $315 billion and $276 billion, respectively, to $3.35 trillion ⁠and $5.11 trillion.

Nvidia forecast second-quarter revenue above expectations in May and announced an $80 billion share repurchase programme.

Bucking the trend, Alphabet's market value dropped $59.77 billion to $4.59 trillion.

In the world's ​20 most valuable companies including other ⁠sectors, banking group JPMorgan Chase and retailing giant Walmart ​saw the biggest falls in market ‌capitalisation in May, by $130.47 billion ​and $37.3 billion, respectively, to $921 billion and $802 billion.

(Reporting by Gaurav Dogra in Bengaluru; Editing by Emelia Sithole-Matarise)

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