America's 10 largest tech companies by revenue are on track to post combined sales of over $1 trillion this year, according to an analysis of Wall Street estimates.
A recent report by Thomson Reuters forecasts the tech titans to post sales up a whopping 15.7% over last year to a projected $1.078 trillion. The report indicated that Apple Inc. (AAPL) and Amazon.com Inc. (AMZN) will be sales leaders while Facebook Inc. (FB) and Amazon will grow the fastest. (See also: Apple Poised to Surpass $1 Trillion in Market Cap.)
As the bull market charges past its ninth consecutive year, with 2017 setting new records, the figures suggest that leaders in tech are keeping up their rapid pace of growth as they dominate larger shares of their respective markets. Last year, the Nasdaq 100 Index, which represents the largest tech firms by market capitalization, gained nearly 32%, outperforming both the S&P 500 Index and Nasdaq Composite Index, which rose about 22% and 28%, respectively.
Decades-Old Tech Giants Seize to Slow Down, Expected to Grow Revenues in Double-Digits
Cupertino, Calif.-based Apple is expected to post sales of $273.3 billion for its fiscal year ending this September, driven by demand for its 10th anniversary smartphone, the iPhone X. E-commerce and cloud computing giant Amazon is seen posting revenue of $228.7 billion in 2018, as Amazon Web Services (AWS) helps generate nearly $52 billion more in sales than last year. Google parent Alphabet Inc. (GOOGL) is expected to rake in $131.3 billion in 2017, followed by legacy tech giant Microsoft Corp. (MSFT) at $106.4 billion and International Business Machines Corp. (IBM) at $78.8 billion.
Silicon Valley's Facebook Inc. (FB) leads the group in terms of fastest year-over-year (YOY) sales growth, as the company is projected to post a 34% gain at $53.8 billion for the year. Analysts' expectations reflect optimism surrounding the media giant's mounting influence in the realm of digital advertising. Double-digit revenue gains are also expected for Amazon, at 29%, Alphabet, at 19%, Apple, at 19%, and Microsoft, at 10%. (See also: Tech Cos. Like IBM Could See Tax Hike: Bernstein.)