META - Why Microsoft Amazon Alphabet and Other Magnificent Seven Stocks Crashed on Thursday
2024-04-25 14:10:57 ET
The biggest driver of headlines across the technology sector over the past year or so has been the proliferation of artificial intelligence (AI). Many of the world's biggest companies see a vast opportunity resulting from AI and are investing accordingly to stake their claim in the AI revolution. What some investors weren't prepared for, however, is the level of spending necessary to reap the windfall that AI is expected to unleash over the next few years.
With that as a backdrop, Microsoft (NASDAQ: MSFT) slumped 3.4%, Amazon (NASDAQ: AMZN) was off 2.5%, and Alphabet (NASDAQ: GOOGL) (NASDAQ: GOOGL) fell 2.2%, as of 1:05 p.m. ET on Thursday.
To be clear, there was very little company-specific news driving these so-called " Magnificent Seven " stocks lower today (more on that in a bit). This supports the conclusion that investors are reacting to the quarterly results reported by Meta Platforms (NASDAQ: META) and what it means for other big players in the AI space.
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Why Microsoft, Amazon, Alphabet, and Other "Magnificent Seven" Stocks Crashed on Thursday