Big Tech is underperforming the broader market at a faster clip.

Big Tech (MAGS) -15.9% YTD

Capex hit $37.5B in a single quarter. Gross margins dropped to 68% (3-year low). Free cash flow is under pressure. AI is scaling, but so are costs.

$Meta Platforms (META.US)$ -20.4% YTD

Infrastructure spending keeps accelerating. Legal risks are rising at the same time. Capital intensity + regulatory pressure = a more fragile margin outlook.

$Amazon (AMZN.US)$ -13.6% YTD

Missed operating profit expectations. Took $2.44B in special charges. Logistics + cloud capex continues to compress profitability.

$Broadcom (AVGO.US)$ -13.1% YTD

AI exposure is strong. But the business still carries cyclical semiconductor risk. Any slowdown in AI spend could expose weaker legacy segments.

$Alphabet-A (GOOGL.US)$ -12.4% YTD

Capex expected to reach $175–185B in 2026. Free cash flow margins already dropped to 21%. Infrastructure costs are rising faster than monetization.

$NVIDIA (NVDA.US)$ -10.2% YTD

Still the core AI beneficiary. But expectations are extreme. Any execution miss could compress margins quickly.

$Apple (AAPL.US)$ -8.5% YTD

Core hardware is slowing. Mac revenue down, wearables declining. AI narrative is weaker

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