Ok ok… it may be a little early for the snarky headline. Maybe “A Slightly Less Magnificent 7”?
The nickname’s evolution matters very little to us, but we are paying close attention to the current developments within the companies that have made up the Magnificent 7 stocks. They are NVIDIA, Alphabet, Tesla, Microsoft, Amazon.com, Apple, and Meta Platforms. They earned the moniker last year when the S&P 500 posted a 26% return for the year. The Magnificent 7 accounted for more than 62% of the return.
It’s not that these companies are faltering or that their stocks are leading the market lower by any means. We are just taking note of the behavioral shift in leadership in real time.
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