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. Starting off 2025, however, performance for these mega-cap stocks has been mixed thus far.
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.
Nvidia Stock Rallies To Key Level
Nvidia reversed 0.8% lower Tuesday, turning down after hitting resistance at the critical 50-day moving average line. That's an important level to watch. A decisive retake would be bullish for the stock's immediate prospects.
In recent weeks, Nvidia CEO Huang delivered the keynote address at CES 2025. He unveiled new AI initiatives, including Nvidia Cosmos, a computing platform for accelerating physical AI development. Cosmos offers world foundation models to help developers make next-generation autonomous vehicles and robots.
The tech titan is an IBD Leaderboard stock.
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Magnificent Seven Stocks: Amazon Rebounds
Amazon.com stock regained a 233 buy point in a flat base Monday. But shares declined 0.6% Tuesday.
On Feb. 6, Amazon reported fourth-quarter results that beat expectations. But the tech giant predicted lower-than-expected sales and operating income for the first quarter, citing currency exchange headwinds.
Amazon said in a news release that it earned $1.86 per share on sales of $187.8 billion. Investors, meanwhile, were expecting earnings of $1.49 per share and revenue of $187.3 billion from the Seattle-based firm.
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Tesla Stock Slides
Tesla skidded 5.7% Tuesday, threatening to extend a four-day losing streak. The EV giant set an all-time high on Dec. 18, topping out at 488.53.
On Jan. 29, the company announced worse-than-expected earnings and revenue for the fourth quarter. But Chief Executive Elon Musk said that unsupervised full self-driving will come to Texas in June and that the robotaxi will arrive in 2026.
Tesla reported Q4 EPS of 73 cents, growing 3% compared to Q4 2023, while revenue increased 2% to $25.71 billion. Analysts expected earnings of 77 cents per share and sales coming in at $27.26 billion, according to FactSet.
Meanwhile for 2025, current consensus has Tesla profit returning to year-over-year growth, after the expected dip for 2024.
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Dow Jones Stocks In Magnificent 7: Apple, Microsoft
Besides recently added Nvidia stock, there are two other Dow Jones names among the Magnificent Seven: Apple and Microsoft.
Apple stock rallied 2.5% Tuesday, still below its 50-day line.
On Jan. 30, the Cupertino, Calif.-based consumer electronics giant said it earned $2.40 a share on sales of $124.3 billion in the quarter ended Dec. 28. Analysts polled by FactSet had expected Apple earnings of $2.35 a share on sales of $124.3 billion. On a year-over-year basis, Apple earnings rose 10% while sales increased 4%.
Magnificent Seven Stocks 2025 Performance
Company Name | Symbol | 2025 Performance |
---|---|---|
Alphabet | +6.1% | |
Amazon | +6.9% | |
Apple | -5.1% | |
Meta Platforms | +17.3% | |
Microsoft | -1.5% | |
Nvidia | -7.1% | |
Tesla | -0.9% |
Source: IBD Data as of Jan. 31
Meanwhile, Microsoft beat Wall Street's targets for its fiscal second quarter on Jan. 29 thanks to its booming artificial intelligence business. But there was decelerating growth in its Azure cloud infrastructure unit. Microsoft also offered a revenue outlook that was below views for the current quarter.
The software giant earned $3.23 a share on sales of $69.6 billion in the December quarter. Analysts polled by FactSet had expected Microsoft to earn $3.11 a share on sales of $68.9 billion. On a year-over-year basis, Microsoft's earnings rose 10% while sales increased 12%.
Shares fell 0.6% in Tuesday's trading, still holding sharply below the 50-day level.
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Meta Stock Hits New High
Shares of Meta Platforms gained 0.1% Tuesday, looking to extend a 16-day win streak. Meta stock is sharply above a a flat base's 638.40 buy point as it hit new highs last week.
On Jan. 29, Meta reported fourth-quarter earnings and revenue that topped Wall Street estimates. But its revenue outlook for the March quarter came in below views amid worries over currency exchange rates and a strong U.S. dollar, tempering investor enthusiasm.
Meta earnings rose 50% to $8.02 per share while revenue climbed 21% to $48.38 billion.
Meta stock shows a perfect 99 IBD Composite Rating, per the IBD Stock Checkup.
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Alphabet Plunges On Earnings
Alphabet plunged from new highs last week after the company's earnings report. Shares fell 1% Tuesday, further below their 50-day line.
On Feb. 4, Alphabet reported fourth-quarter earnings that edged by analyst estimates while revenue came in slightly below views. Also, cloud computing revenue growth missed forecasts.