The five Big Tech companies, namely Apple, Microsoft, Google, Facebook, and Amazon, have covered up more than 1/5th of the total market capitalization of the S&P 500 index SPX as of the end of the second quarter of this year, that is, 22%.
In the first quarter of the year, they had provided almost 10% of the total sales of the 500-member index and around 18% of the total profit, 9.7%, and 17.8%.That quantity of the profit which Big Tech companies have provided actually decreased from the year 2020, when all these five companies provided almost a quarter of the index’s Earnings in the entire year, that is, 23.8% and had been accounted for 9.1% of the total sales.
The five companies are likely to reveal some of the large Earnings and sales earned in the second quarter. In this quarter, 88% of the S&P 500 companies have exceeded the average estimates of the analysts for the Earnings per share, and 86% of them have been beaten on revenue with almost a quarter of the index, according to FactSet. According to John Butters, the senior Earnings analyst would record both of those figures for an overall surprise percentage, which FactSet has traced back to the year 2008.