Dubbed the Magnificent Seven stocks, Apple, Microsoft, Google parent Alphabet, Amazon.com, Nvidia, Meta Platforms and Tesla lived up to their name in 2023 with big gains. But the third quarter of 2024 showed their returns diverging and the whole group came under selling in recent weeks before rebounding.
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Due to their outsized market capitalizations, Magnificent Seven stocks hold a disproportionate influence on the market-cap weighted Nasdaq composite and S&P 500 indexes.
For an in-depth look at this issue, check out IBD’s page on the Magnificent Seven weightings, market capitalizations and the companies’ latest news stories.
Magnificent Seven Stocks Performance
| Company Name | Symbol | 2024 YTD Performance |
|---|---|---|
| Alphabet | (GOOGL) | +17.2% |
| Amazon | (AMZN) | +9.9% |
| Apple | (AAPL) | +12.3% |
| Meta Platforms | (META) | +46.3% |
| Microsoft | (MSFT) | +8.0% |
| Nvidia | (NVDA) | +111.5% |
| Tesla | (TSLA) | -19.5% |
Source: IBD Data as of Aug. 12
Nvidia Stock Rebounds
Nvidia (NVDA) rallied another 5.8% Tuesday, continuing to rebound after last week’s brief sell-off. Last week, the AI giant hit its lowest level since mid-May before bouncing.
Nvidia stock was having a strong year, and soared after the AI giant beat Wall Street’s targets for its fiscal first quarter and guided higher than views for the current period. It also announced a 10-for-1 stock split that took effect on June 10.
The tech titan is an IBD Leaderboard stock. Nvidia stock topped a split-adjusted handle buy point at 92.22, and shares gapped up to all-time highs. Nvidia stock also moved above a split-adjusted entry at 97.40, but gave up of its gains from those buy triggers last week.
Magnificent Seven Stocks: Amazon Breaks Key Level
Amazon.com (AMZN) is below its long-term 200-day line, even as shares bounced another 1.8% Tuesday.
In recent weeks, the e-commerce giant reported mixed second quarter results.
Earnings beat expectations but revenue came in short of projections, despite a stronger-than-expected contribution from Amazon’s cloud computing division. The tech giant’s sales forecast was also lower than expected.
Through its Amazon Bedrock platform, the e-commerce and cloud giant provides a fully managed service offering a choice of high-performing foundation models (FMs) from leading AI companies like AI21 Labs, Anthropic, Cohere, Meta and Stability AI.
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Tesla Stock Below Key Level
Tesla rebounded 5.1% Tuesday, trying to get back above the 200-day line. Shares remain below their 50-day line after losses in recent weeks.
On July 23, electric-vehicle giant Tesla announced mixed second-quarter earnings and revenue. Earnings plummeted by more than 40% while sales came in above expectations.
Dow Jones Stocks In Magnificent 7: Apple, Microsoft
Two Dow Jones names are among the Magnificent Seven: Apple (AAPL) and Microsoft (MSFT).
Apple stock moved up 1.9% Tuesday, further above its 50-day line. Last week, the stock briefly sank below the 199.62 buy point of a June 11 breakout, causing a round-trip sell signal.
In recent weeks, Apple beat expectations for its fiscal third quarter thanks to record services revenue and strong iPad sales.
On July 30, software giant Microsoft reported fiscal fourth-quarter results that edged above Wall Street’s targets. But Azure cloud-computing growth disappointed. Also, Microsoft’s sales guidance for the current quarter was light.
Shares moved up 1.9% in Tuesday’s trading, set to regain the 200-day line.
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