After years of overperformance from tech stocks, there are some shifting winds in the stock market this year. The reign of tech stocks—powered by hyperscalers and chipmakers—appears to be giving way to the much more mundane world of waste management, plumbing, and electrical wiring—companies found in the industrials sector.
Consider this: the S&P 500 Information Technology Sector Index ($SRIT) gained nearly 70% from 2024-25, by far outdistancing the 36% gain of the S&P 500 Industrials Sector ($SRIN). But so far this year, Industrials have the edge, 17.7% to 15.6%. And in the last month, Industrials are up 5% while the technology sector has tumbled nearly 5%.