Two Tech Stocks Take The Season

Now that NVDA's earnings have come and gone, we can summarize sector results since earnings season began back on 7/13.  Since then, S&P 500 companies collectively added about $1.75 trillion in market cap.

As shown below, the Tech sector accounted for about 80% of the S&P's increase in market cap by adding $1.392 trillion.  Health Care stocks added the next-most at $345 billion, followed by Financials ($192.7b) and Energy ($174.7b).

Four sectors saw declines in market cap this earnings season, with Communication Services seeing the biggest drop at roughly -$300 billion.

Within the S&P 500 Technology sector, two stocks accounted for all of its market cap gain this earnings season: Microsoft (MSFT) and NVIDIA (NVDA).

As shown below, MSFT and NVDA have seen their market cap increase by $1.414.8 trillion since 7/13, while the other 71 Technology stocks have seen a combined drop of $22.3 billion.

Below is a look at the one-day share price change (%) in reaction to earnings for the major Tech and Tech-adjacent stocks that rank in the 25 largest of the S&P 500.

Of the twelve stocks shown, eight fell on their earnings reaction days, while four gained.  Across these twelve stocks, though, the average one-day change on earnings was exactly 0.0%.  Go figure.

Below is a look at the 25 largest stocks in the S&P 500 and how they did this earnings season.  These 25 mega-caps have a combined market cap of more than $36 trillion.  The remaining 475 stocks in the index have a combined market cap of $33.7 trillion.

These 25 stocks saw their combined market cap increase by $1.1 trillion this earnings season, while the 475 smallest stocks in the index saw a combined increase of $642 billion.

Microsoft (MSFT) has seen the biggest jump in market cap with a gain of $845.9 billion, followed by NVIDIA (NVDA) at $568.9 billion.

Meta (META) has seen the biggest drop at $212.2 billion, followed by Alphabet (GOOGL) at -$132 billion, Walmart (WMT) at -$96.7 billion, and AMD at -$93.2 billion.

To put a bow on this analysis, two Tech stocks -- NVDA and MSFT -- accounted for about 80% of the total gain in market cap for the S&P 500 this earnings season.