Nvidia's market cap climbs amid tech turbulence in August
Reuters
Published Sep 01, 2023 22:03
(Reuters) - Nvidia Corp’s market capitalization climbed higher in August thanks to its strong profit forecasts, which defied the broader downtrend in mega-cap technology stocks during the past month as an uptick in U.S. bond yields rattled the sector.
Nvidia's shares surged last month, boosted by its quarterly revenue forecast, which exceeded analyst expectations as the artificial intelligence boom fuels demand for its chips. Also, an announcement of a $25 billion share buyback lifted its shares.
In stark contrast, other technology behemoths saw a sombre August. The market capitalization of Apple (NASDAQ:AAPL) and Microsoft Corp (NASDAQ:MSFT)'s shares declined 4.4% and 2.4%, respectively, while Meta Platforms Inc's shares fell 7.1%.
Last month, Apple said its sales slump would continue into the fiscal fourth quarter, hit by slowing demand for its flagship product, the iPhone.
Meanwhile, Berkshire Hathaway (NYSE:BRKa)'s market cap rose over 2% last month, as its shares touched a record high after the company's quarterly operating profit topped $10 billion for the first time.
Berkshire said rising interest rates boosted profit from fixed-income investments in its second-quarter earnings, while few accident claims bolstered Geico car insurance, its subsidiary.
In China, Tencent Holdings' market cap declined about 9% last month, as its core gaming business experienced weaker-than-expected growth in the quarter through June.
Johnson & Johnson (NYSE:JNJ) was the worst performer among the top 20 global companies by market cap, shedding about 10% in the last month, as a U.S. judge shot down its second attempt to resolve tens of thousands of talc-related lawsuits.
Get The App
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.