Three of the world’s largest companies — Apple Inc., Microsoft Corp. and Alphabet Inc. — reported about $57 billion in combined profit in a record-busting quarter, riding a resurgence in consumer and business spending.
Yet markets responded coolly. In part, investors were skeptical that these companies can continue to post double-digit growth for quarters to come.
The world’s largest tech companies have gotten larger at a torrid rate. Their market valuations have skyrocketed this year as world economies rebounded from pandemic lows — with both Apple and Microsoft topping $2 trillion in market value — adding pressure to keep up the pace. All the companies were bullish about their prospects, but investor optimism was tempered by signs that the momentum of the past year may be ebbing.