Top-performing fund managers are showing a renewed interest in US major tech equities, according to our Top Ranked Companies report.
According to the most recent Top Rated Companies report, US major tech stocks are seeing a comeback in prominence among the world’s top-performing fund managers.
According to the November report, the top 10 global list of Citywire Elite Companies currently includes four of the five US large tech stocks: Alphabet (US:GOOGL), Microsoft (US:MSFT), Meta Platforms, Inc. (US:META), and Apple (US:AAPL).
According to an indication of their popularity among the top fund managers worldwide, Apple and Microsoft are newcomers to the top 10. This was announced in November.
Meanwhile, Alphabet has risen to the top of the global rankings, unseating Wells Fargo (US:WFC), the US bank, as the number one firm.
Amazon (US:AMZN), the fifth among the big five, is a major climb this month, now placing 15th out of over 6,000 Elite Companies, while being outside the top 10.
Although the latest big tech quarterly earnings have been largely positive, there is uncertainty regarding the prognosis for the economy.
Even though Alphabet’s third quarter earnings and revenue were stronger than anticipated, the company’s share price fell by 9.5% on the first day of the release. Its offense was that Google Cloud’s less-than-expected growth was more than made up for by robust ad sales. Since then, the shares have increased.
The other two well-known US IT companies that comprise the so-called “Magnificent Seven,” Nvidia (US:NVDA) & Tesla (US:TSLA), have also seen a ratings comeback this month, rising from AA into AAA.
Nvidia’s Citywire Elite Businesses rating dropped from a AAA to a + in August, but it has now regained its top grade this month. The company designs chips with artificial intelligence.
Sales during the third quarter reached a record $18 billion, of which more than half went to the bottom lines. However, despite exceeding forecasts and the firm projecting significant growth in the upcoming quarter, the share price remained restrained, partly because of concerns regarding limitations on exports to China.
