Investors’ confidence has once again been reinstated and markets are bouncing back. The positive sentiment saw tech stocks rallying on Monday with shares of tech giants like Apple Inc. (
AAPL - Free Report) , Microsoft, Inc. ( MSFT - Free Report) , Netflix, Inc. ( NFLX - Free Report) and Adobe Systems Incorporated ( ADBE - Free Report) and Amazon.com, Inc. ( AMZN - Free Report) hitting all-time highs.
Apple introduced a wide range of tools intended to popularize augmented reality and how users could now set limits for how much time they spent on apps at its Worldwide Developers Conference (WWDC). This saw the company’s shares surging once again. Microsoft’s shares touched an all-time high on news that it is eyeing GitHub, a software developer platform for $7.5 billion.
Adobe, on the other hand, introduced Project Aero, a new augmented reality authoring tool for designers and developers. Understandably, tech stocks, which have been driving markets in 2017 and even in early 2018, are back in focus again.
Apple’s Shifts Focus
On Jun 4, Apple at WWDC, its annual developers’ conference, introduced iOS 12, its newest version of software available this fall along with new augmented features for its upcoming mobile operating system. Alongside it also unveiled a range of new ways to set a limit on screen time on iPhones and other mobile phones.
Interestingly, unlike earlier occasions, the iPhone maker this time focused more on solving persistent problems faced by the users instead of showcasing its new features. Over the past few years, concerns have been growing on how cutting-edge technology is increasingly making users mobile addicts.
With the new iOS 12, users will be able to set limits on how much time they spend on any particular app. Another feature, Family Sharing, allows parents to cut children off from using apps after a certain amount of time daily.
The company isn’t only trying to help customers use social media apps less but is also making an attempt to restrict the ability of advertisers to track the personal data of customers who use Safari on Macs. Also, the company introduced its next generation of ARKit that has a new multi-person mode for AR games, which will allow two or more people to share data to see the same object or play the same game in a virtual environment.
Apple’s fresh approach reinstated investors’ confidence that saw its shares hitting an all-time high. The company’s shares surged as much as 1.7% to a record intraday high before closing at $193.83. Shares of Apple gained 0.8% on Monday. The rally in shares pushed the company’s market capitalization to $942.9 billion and needs to make gains of only 6.1% to become the first $1 trillion company.
VIDEO Other Tech Giants Too Hit All-Time Highs
Tech stocks are back in the reckoning and Monday’s rally is an evidence of that with investors once again showing their confidence in the space. Microsoft shares rallied on Monday after the company announced that it intends to acquire GitHub, a software developer platform, for $7.5 billion.
This might not be Microsoft’s biggest acquisition but is being believed to be its biggest bet to date on its new approach. Software developers count GitHub among the most popular services to develop projects based on open-source cloud. This saw shares of Microsoft touching an intraday high of $101.85, before closing 0.9% higher at $101.67.
Shares of Adobe also touched a new high after the company introduced Project Aero, a new augmented reality authoring tool for designers and developers. The tool will help designers create content inside of existing tools like Dimension CC and Photoshop. Shares of Adobe rose 2% to close at $253.34.
Amazon, on the other hand, capitalized on retail tailwinds and dual technology to close at a record high of $1,665.27, increasing 1.5%. Amazon has a Zacks Rank #2 (Buy). You can see
the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Bottom Line
It goes without saying that markets have once again started looking up driven by a rally in tech stocks. Most tech companies are increasingly shifting focus toward data privacy and user satisfaction. This definitely is going in their favor with investors showing more faith and confidence in tech stocks.
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