After adding trillions of dollars to their stock values in 2023, the world's largest AI companies are having another fantastic year. The surging interest in AI technology has helped these giants stay at the frontline of the stock market rally and grow their stock values even more.
According to data presented by Stocklytics.com, the world's five largest AI companies, Microsoft, Alphabet, NVIDIA, and Meta Platforms, have added a whopping $1.8 trillion to their stock values in the first quarter of the year.
More than 60% of Total 2023 Gains Made in Just Three Months
The rise of artificial intelligence, combined with the improving economy and slowing inflation, has pushed the AI sector into the spotlight, helping the largest players in the market add trillions of dollars to their stock values. Last year, the world's largest AI companies, Microsoft, Alphabet, NVIDIA, and Meta Platforms, added more than $3 trillion to their stock values, turning 2023 into one of the best years this market has ever seen.
However, 2024 might set a new record. According to YCharts data, in January, the combined market cap of the four AI giants stood at over $6.6 trillion. By the end of Q1, this figure hit a whopping $8.5 trillion, showing a $1.85 trillion increase in just three months. And while $1.85 trillion is a huge gain, this figure is even more impressive when compared to AI giants' 2023 stock value gains. Statistics show that Microsoft, Alphabet, NVIDIA, and Meta Platforms made over 60% of their total 2023 gains in just three months of 2024.
Like last year, Nvidia (NVDA) was the biggest winner, adding more than one trillion dollars to its stock value in Q1, or $200 billion more than in 2023. In January, the market cap of the US-based chip maker that became an AI superpower was $1.2 trillion, and now it's $2.25 trillion.
Meta Platforms (META) follows Nvidia, with a 38% growth in stock value in the three months of the year. Between January and March, the market cap of the Facebook owner increased by $350 billion, rising from $909 billion to $1.25 trillion. Microsoft (MSFT) and Alphabet (GOOGL) follow with gains of $332 billion and $125 billion, respectively.
Tesla is the Only Loser Among AI Giants, with a $230 Billion Stock Value Drop in Q1
Unlike Microsoft, Alphabet, NVIDIA, and Meta Platforms, which continued adding hundreds of billions of dollars to their stock values amid the AI renaissance, the world's most valuable car producer, Tesla, has had a rough start in 2024. The once red-hot electric car maker, and one of the so-called Magnificent Seven tech stocks, has become the worst performer in the S&P 500 and the only AI giant that ended Q1 with losses.
Slowing growth, safety issues and recalls, and price cuts have had a major impact on Tesla's stock price, causing the company to lose $230 billion in stock value since the beginning of the year. In January, Tesla's market cap was close to $790 billion; at the time of writing, it was $559 billion.
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