Microsoft, Apple remain only $3 trillion companies as Nvidia earnings push it below threshold


  • Nvidia earnings late Wednesday have pushed NVDA out of $3 trillion market cap.
  • Microsoft and Apple gain on Thursday, with both mega caps benefiting from AI offerings.
  • Dow Jones gains ground due to MSFT, AAPL advancing.
  • iPhone 18 announcement expected on September 9.

 

The broad market was unimpressed with Nvidia’s (NVDA) Q2 results late Wednesday, and shares of the semiconductor sold off more than 3% on Thursday. But most other tech stocks made gains simply because the uncertainty surrounding the “most important stock” are now behind them. Investors stopped bracing for a terrible earnings result from Nvidia that would have had the ability to wreck the market.

Both Microsoft (MSFT) and Apple (AAPL) added more than 2%. The Dow Jones Industrial Average (DJIA), of which they are both constituents, advanced as much as 1% before pulling back in the afternoon.

The Dow was greatly aided by positive data for the US economy. FXStreet's Joshua Gibson writes: 

"US Q2 GDP beat forecasts Thursday morning, propping up market sentiment and sending investors back into a bidding stance. Annualized Q2 GDP came in at 3.0% compared to the expected hold at 2.8%, and Initial Jobless Claims also ticked down to 231K for the week ended August 23. Investors had expected a print of 232K compared to the previous week’s revised 233K."

Microsoft, Apple stock news

Microsoft and Apple are momentarily the only members of the $3 trillion market cap crew. Despite handily beating Wall Street consensus, Nvidia slipped enough to fall below that threshold. There was little negativity surrounding Nvidia, except for its sky high gross margin slipping slightly below expectations to 75.1%.

Microsoft’s Charles Lamanna, Corporate Vice President for Business Apps & Platforms, was interviewed by Brad Zelnick of Deutsche Bank on Wednesday at the bank’s tech conference.

Lamanna said that enterprise customers were now focused on how artificial intelligence (AI) can be incorporated into their customer relationship management (CRM) and resource management software offerings from Microsoft.

“Everybody that has Office software today or productivity software today should have Copilot for Microsoft 365 or an equivalent,” said Lamanna. “And then, we've layered on top of that Copilot for sales, Copilot for service, Copilot for finance or in Dynamics 365.”

Copilot is Microsoft’s version of partner firm OpenAI’s large language model. OpenAI has been in the news this week as it is looking to raise money at a $103 billion valuation, well above last round’s $86 billion valuation. Microsoft, OpenAI’s largest investor, is reportedly going to once again be part of the funding round.

Cit has named Apple its top AI pick on Thursday. The surprise pick placed Apple ahead of Nvidia heading into 2025, because analysts said the AI features in the new operating system for the iPhone 18 are attractive enough to cause an impressive upgrade round. Apple is expected to unveil the new iPhone at its product event on September 9.


5-day comparison chart of Microsft, Apple and Nvidia

5-minute chart detailing peformance of NVDA, AAPL and MSFT over past five trading sessions

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

AUD/USD struggles near multi-month low; looks to US CPI for fresh impetus

AUD/USD struggles near multi-month low; looks to US CPI for fresh impetus

AUD/USD languishes near a multi-month low during the Asian session on Wednesday and seems vulnerable amid a bullish USD. Expectations that inflationary import tariffs from US President-elect Donald Trump will push up prices and limit the scope for the Fed to cut rates remain supportive of elevated US bond yields.

AUD/USD News
USD/JPY sits near its highest level since July, close to 155.00 as traders await US CPI

USD/JPY sits near its highest level since July, close to 155.00 as traders await US CPI

USD/JPY stands firm near its highest level since July 30 amid speculations that a fragile minority government in Japan will make it difficult for the BoJ to tighten its monetary policy further. Moreover, fears that US President-elect Donald Trump might again hit Japan with protectionist trade measures continue to undermine the JPY. 

USD/JPY News
Gold price oscillates around $2,600, just above a nearly two-month low ahead of US inflation

Gold price oscillates around $2,600, just above a nearly two-month low ahead of US inflation

Gold price consolidates its recent heavy losses to the lowest level since September 20 as bears opt to pause for a breather ahead of the crucial US CPI report, which will influence Fed rate-cut expectations and provide a fresh impetus. 

Gold News
Ripple could rally 50% following renewed investor interest

Ripple could rally 50% following renewed investor interest

Ripple's XRP rallied nearly 20% on Tuesday, defying the correction seen in Bitcoin and Ethereum as investors seem to be flocking toward the remittance-based token. XRP could rally nearly 50% if it sustains a firm close above the neckline resistance of an inverted head and shoulders pattern.

Read more
Five fundamentals: Fallout from the US election, inflation, and a timely speech from Powell stand out

Five fundamentals: Fallout from the US election, inflation, and a timely speech from Powell stand out Premium

What a week – the US election lived up to their hype, at least when it comes to market volatility. There is no time to rest, with politics, geopolitics, and economic data promising more volatility ahead.

Read more
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

Forex MAJORS

Cryptocurrencies

Signatures