Wall Street’s Big Tech Concentration Hits New Highs, Surpassing Dotcom Bubble
Wall Street’s focus on big tech is tighter than ever, now ranking above dotcom bubble levels from the 1990s. New data shows tech stocks dominate major indexes like never before.
The concentration means a handful of giants control huge market shares, pushing valuations to record highs. Investors and analysts are nervy, wondering if history might repeat itself with a sharp correction.
The stock surge is led by mega caps in software, semiconductors, and AI, fueling fears of another bubble forming. But experts warn the current tech surge looks different, backed by real earnings growth and wider adoption.
Still, risk is in the air. Market watchers say high concentration could backfire if any big player stumbles, dragging others down.