Tech Giants Lead Nasdaq Down Over 2%: Apple, Tesla, Nvidia Earnings Weigh on US Stocks

Tech Giants Lead Nasdaq Down Over 2%

Recently, the US stock market has experienced a notable correction, with the "Magnificent Seven" tech giants—Apple, Tesla, and Nvidia—collectively weakening, dragging the Nasdaq Composite Index down over 2%, while the S&P 500 also recorded significant losses. Market sentiment has shifted from early-year optimism to caution, as investors increasingly focus on post-earnings performance and valuation pressures for tech stocks.

Earnings Season Divergence: Apple and Tesla Under Pressure

Apple's latest quarterly earnings showed slowing sales growth for its core iPhone product, particularly underperforming expectations in the Greater China market. Although services revenue continued to grow, overall revenue fell short of some analysts' optimistic forecasts. Following the earnings release, Apple's stock declined consecutively, becoming one of the main drags on the Nasdaq.

For Tesla, while delivery volumes remained high, profit margins came under pressure due to price-cutting strategies. Growing concerns about the outlook for electric vehicle demand, combined with the lack of stable profit contributions from new businesses like autonomous driving, led to a significant pullback in Tesla's stock post-earnings. According to industry analysis, Tesla's price-to-earnings ratio remains at historically high levels, causing divergence among investors regarding valuation合理性.

Nvidia Leads Chip Sector Decline, AI Hype Cools

Nvidia, as the leader in AI chips, had seen its stock soar amid surging demand for AI computing power. However, in its latest earnings, while revenue grew significantly year-over-year, the growth rate slowed sequentially, and the market began to worry about the return cycle of AI investments. Some institutions noted that capital expenditure growth by major cloud service providers may be peaking, leading to profit-taking in Nvidia's stock post-earnings. The chip sector as a whole came under pressure, with AMD, Intel, and others falling in tandem, further exacerbating selling pressure on the Nasdaq.

Market Sentiment Shifts: Rate Expectations and Sector Rotation

The tech stock correction is not an isolated event. The Federal Reserve's recent signals of "higher for longer" interest rates have weighed on growth stock valuations. According to Fed statements, inflation is slowing more slowly than expected, significantly reducing market bets on rate cuts this year. Against this backdrop, funds have rotated from high-valuation tech stocks into defensive sectors such as utilities and healthcare. Within the S&P 500, the technology sector saw the largest declines, while energy and financials were relatively resilient.

Additionally, escalating geopolitical risks and trade frictions have heightened market uncertainty. Multinational companies like Apple and Tesla, which rely heavily on global supply chains, may see further profit erosion from tariff policy changes.

Technical Analysis and Outlook

From a technical perspective, the Nasdaq has broken below key support levels, with short-term moving averages forming a death cross and the RSI entering oversold territory. Some technical analysts believe the market may be entering a phase of correction, but long-term structural trends in AI and cloud computing remain intact. Institutions like Morgan Stanley advise investors to focus on earnings quality and stock selection rather than blindly buying the dip.

In summary, the divergent earnings performances of the Magnificent Seven, combined with a tightening macro rate environment, are the core reasons for the Nasdaq's sharp decline. Market sentiment has shifted from extreme optimism to rational scrutiny, with clear signs of sector rotation. Going forward, attention should be paid to the Fed's policy path, corporate earnings guidance, and geopolitical developments.

Risk Warning

The above content is for reference only and does not constitute investment advice. Markets carry risks; invest with caution. The data and views presented in this article are based on public information and are not guaranteed for accuracy or completeness. Investors should make independent judgments and bear corresponding risks.