Tech Giants’ Reports Dispel Doubts About Growth
- Regulatory risk, Trump clashes had cast a cloud over industry
- Rising profits and user growth may bring wary investors back
Amazon Web Services Helps Prime 1Q Profit Growth
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Big technology stocks took a beating over the past several weeks on concerns that the industry’s growth surge was under threat.
But results this week from Amazon.com Inc., Facebook Inc., Microsoft Corp. and Intel Corp. — among the most valuable companies in the world — went a long way toward proving the naysayers wrong. Solid sales and profit growth and bullish forecasts reminded the market how reliant the global economy remains on the tech sector, for everything from retail and advertising sales to software and computing power accessed via the internet, and the companies’ stocks gained as fears that had built up for weeks began to dissipate.