Apple Passes Nvidia in Market Value as Wall Street Slips; Amex Shares Dip

what happened

According to Seeking Alpha, U.S. stock indexes mostly declined on Friday, with the S&P 500 down about 0.5%, the Dow off 1.1%, and the Nasdaq Composite roughly flat. Investors focused on doubts about spending on artificial intelligence, while crude kept climbing amid geopolitical tension.

Apple shares rose 0.4% in early trading to a record $349.55, lifting its market capitalization to about $5.101 trillion, slightly above Nvidia at $5.064 trillion. The stock is up 28% this year, and its earnings multiple has reached roughly 36, the highest in five years. Earlier this week, Loop Capital lowered its rating to Hold and cut its target to $330 from $370, citing smaller iPhone shipment estimates and possible margin pressure.

American Express shares fell 2.0% in premarket trading after network volume rose 8% year over year, down from 9% in the previous quarter and short of the $519.5 billion consensus at $517.9 billion. Adjusted EPS of $4.68 topped the $4.49 forecast, and the lower end of 2026 guidance moved up to $17.60. Separately, Chinese firms DeepSeek and MiniMax received approval to export their AI technology, while a CNBC poll showed Trump's net economic approval at minus 31 points, the weakest of either term.

why it matters

For indexes, the key issue is how investors value the largest technology companies amid the debate over AI spending. The American Express report suggests card spending growth is cooling even though profit beat forecasts. The approval of Chinese AI model exports adds a regulatory factor for the sector.

market impact

Mega-cap tech and US indexes: Apple's valuation and AI spending worries set the tone for the S&P 500 and Nasdaq

tags

instruments