Dubbed the “Magnificent Seven” stocks, Apple, Microsoft, Google parent Alphabet, Amazon.com, Nvidia, Meta Platforms, and Tesla lived up to their name in 2024 with solid gains. However, so far in 2025, the performance of these mega-cap stocks has been mixed. These influential names have been delivering mixed performance so far this year that may have broader implications for the entire market. More than half of these mega-cap names are down to start the year, as historically high valuations have investors scrutinising the high-flying names at a time when artificial intelligence (AI) competition and trade tensions are becoming more significant challenges for the group.
- Winners: Amazon and Meta Platforms
- Losers: Alphabet, Apple, Microsoft, Nvidia and Tesla.
The moves in this influential group illustrate what MM expects through 2025. However, another factor is catching our attention: the number of NASDAQ stocks making new 52-week lows is climbing as the underlying index challenges fresh highs. In other words, the internals of the tech sector are deteriorating, increasing the odds of a decent pullback in the months ahead.
