These Magnificent Stocks Fell the Most
In February 2025, several major technology stocks experienced significant declines. Microsoft (MSFT) fell 10.25%, Amazon (AMZN) dropped 10.46%, and Alphabet (GOOG) decreased by 12.66%. Tesla (TSLA) lost nearly 25% of its value, attributed to CEO Elon Musk's involvement with DOGE. Despite these losses, Apple (AAPL) and Meta Platforms (META) avoided strong selling pressure. Super Micro Computer (SMCI) saw a 49% gain, likely due to short-sellers covering their positions. The market is bracing for potential capital expenditure cuts in the AI sector.
The stock market in February 2025 beat up most of the technology's magnificent seven stocks. Apple (AAPL) and Meta Platforms (META) avoided strong selling pressure.
Microsoft (MSFT) lost 10.25% last month. Markets are discounting the firm’s ownership in OpenAI. On Feb. 10, a Musk-led group underbid for OpenAI, offering $97.4 billion. Altman promptly rejected the bid, saying ‘no thank you.’
Triggered by claims that China’s DeepSeek hardly spent much on training AI, markets must brace for capital expenditure cuts.
Amazon (AMZN) fell by 10.46% in February. On Feb. 27, the firm announced a new quantum computing chip. It joins both Alphabet and Microsoft in the chip race.
Tesla (TSLA) lost nearly one-quarter of its value. Markets blame CEO Elon Musk’s involvement in DOGE, which is cutting government costs. Sales will continue to decline for most EV firms. Governments are cutting or canceling tax breaks and subsidies for EV buyers.
Alphabet (GOOG) dropped by 12.66% in the month. Hype for all things AI is losing momentum. Although Super Micro Computer (SMCI) gained 49% in the month, short-sellers likely covered their position, creating a rally. The short float on SMCI stock is 20.11%.
Investors continued to hold Apple. The firm may retain its market share by selling more affordable, iPhone 16e devices.
