Apple and Microsoft were the big winners on S&P 500 during 2019, according to CNBC. Looking at the data, the two tech giants accounted for 15% of the total gains to the S&P Index during the year.
Broken down, the gains were 8.2% to Apple and 6.6% for Microsoft, managing a total of 14.8% in total. These numbers were significantly better than Apple and Microsoft rivals. Indeed, the two companies had gains above the next eight largest contributors.
Those companies included fellow giants such as Amazon, Facebook, and AT&T.
“Apple and Microsoft, which surged 85% and 55% this year respectively, together accounted for nearly 15% of the S&P 500′s advance in 2019, according to S&P Dow Jones Indices. Their influence to the cap-weighted index this year is greater than the next 8 biggest contributors combined. Through Monday, the S&P 500 was up 28%,” CNBC reports.
Furthermore, Microsoft and Apple were the only two companies with a market cap valued above $1 trillion.
Microsoft’s success has been well documented. Through a cloud strategy driven by CEO Satya Nadella, the company is going through an era of massive success. Indeed, Microsoft is arguably doing better than it ever has.
Apple is a little more of a special case as concerns continue to swirl around the company in regards to iPhone sales. Smartphones are the core driver of Cupertino’s business and some worries over dwindling sales have raised eyebrows.
However, market research firm Counterpoint recently showed Apple makes most the money in the smartphone market. Over the last two years, the company took 66% of all profits in the industry. Being the runaway leader in flagship sales allows Apple to maintain its margins.