The bank’s analysts, Abiel Reinhart and Michael Feroli, attribute the surge to a concentrated group of firms — including industry giants like Nvidia and Microsoft, as well as emerging players in semiconductors, cloud computing, and robotics. Together, these AI-driven companies now represent 44% of the S&P 500’s total value.
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BUSINESS INSIDER: JPMorgan estimates 30 AI stocks have made Americans $5 trillion richer in the last year
– AI stocks have carried the stock market to record highs in 2025.
– JPMorgan analysts estimate that a group of 30 companies have generated $5 trillion for investors.
– The list of winning AI stocks includes Nvidia and Microsoft, as well as some unexpected names.
It’s no secret that AI is the hottest trade in the stock market, but JPMorgan has put a number on the wealth generated by US households that have been invested in the trend — and it’s staggering.
A note from the bank in September said that 30 AI-linked names now account for about 44% of the value of the S&P 500. In an update this week, analysts said that they estimate the wealth gains from those 30 names amount to a whopping $5 trillion in the last year.
The bank’s latest note examines how that huge boost to household wealth could impact consumer spending.
“We estimate US households have gained over $5tr in wealth in the last year from those 30 AI stocks, and that this will raise their annualized level of spending by about $180bn, or 0.9% of total consumption,” JPMorgan analysts Abiel Reinhart and Michael Feroli wrote in a note on Thursday.
JPMorgan says the 30 hottest AI stocks have generated $5 trillion of wealth for US households.
“We leveraged J.P. Morgan’s proprietary technology to filter for companies with high frequency of co-mentions of AI across news and earnings call transcripts,” the analysts said regardind their methodology for ranking the top 30 AI names.
Many tech stocks with high AI exposure have shaken off volatile market conditions to keep rising in the second half of this year, pushing major indexes to a series of all-time highs.
Almost half the companies on the list of top AI stocks are part of the semiconductor and hardware sector. The next most popular category is listed as software/cloud/consulting, with two firms operating in the automotive/robotics area. Digital Reality Trust is the only name that operates in the data center space.
The bank is bullish on AI stocks, though Reinhart and Feroli noted that a correction in the sector would erase a considerable portion of recent wealth gains.
“If AI stocks now account for 44% of market cap, then a 10% drop in their value would cut household wealth by $2.7tr, and consumption by about $95bn (0.45%),” the analysts added.
Current market conditions don’t yet suggest that a reversal in the AI trade is imminent, and multiple tech leaders have reported positive earnings fueled by the AI boom as third-quarter results start trickling in. Morgan Stanley this week estimated that the current AI spending spree could pay for itself within a few years.
Read the original article on Business Insider
$5 Trillion AI Wealth Windfall: Celebrate—but Don’t Get Complacent
If you’re riding the AI wave:
1. Frame your gains as part of a broader wealth-management strategy.
2. Tightsen risk controls—heavy concentration equals heavy debt if sentiment turns.
3. Direct excess capital into real-world assets or companies where AI is being *applied*, not just hyped.
“We’re advising people to hold AI exposure across multiple verticals — software, hardware, and application layers — instead of betting on a handful of headline names,” said New York Business Leadership Center.
Meanwhile, Hillier Consulting recommends periodic rebalancing and a disciplined approach.
“Reassess every quarter,” said Hillier Consulting. “Map where AI is truly creating operational value, not just market hype. Sustainable innovation should guide allocation.”
The critical question for every CEO:
Is AI treated as an Innovation Budget item, or is it firmly at the center of your Systemic Risk Management strategy? The answer will define your organization’s resilience.
AI is not a trend. It’s the 44% of the Market.
