The group of stocks known as the Magnificent 7, as commented on by Torsten Slok of Apollo, has reached a market capitalization four times larger than the small-cap Russell 2000 Index. Microsoft alone has a market cap equivalent to the entire Canadian stock market. These stocks, which include Microsoft and Tesla, have shown strong performance, with improving momentum and long-term uptrends, although Tesla is suggested to be an exception according to @StocktonKatie. The Magnificent 7 returned to an all-time high in 2023, as tracked by Bloomberg, with a reminder that past performance is not indicative of future results. Despite their dominance, owning these stocks in 2023 was not the sole path to outperforming the market, as over 181 U.S. stocks with a market cap greater than $10 billion returned more than 25% over the past year.
It has become consensus that: "If you didn't own Magnificent 7 in 2023, you underperformed the market." While Mag7 undeniably had a year to remember, this simply isn't true. There are 181 U.S. stocks (>10 billion mkt cap) that returned >25% over the past year. The full list: https://t.co/OBRBzcL2SL
If 2023 was all about the Magnificent Seven on Wall Street, this year is poised to usher in a broader array of winners https://t.co/wj1lfo9Y7i
Back to an all-time high for Magnificent 7 (as tracked by @Bloomberg) [Past performance is no guarantee of future results] https://t.co/qYslN8pj99
“Is there any stopping these stocks?” @SullyCNBC asks about the Magnificent 7. “They all have improving momentum and they’re all still in long-term uptrends except arguably $TSLA,” says @StocktonKatie. https://t.co/dW17Wy44d5
Magnificent Seven Are Larger Than Entire Countries’ Stock Market https://t.co/DEfEJAkXxy
Just how big have the Magnificent 7 become? The market cap of the Magnificent 7 is now FOUR TIMES that of the Russell 2000. Microsoft, $MSFT, alone is the size of the entire stock market in Canada. The market cap of the Magnificent 7 is the same size as the stock markets in… https://t.co/E29monQ5U1
The market cap of the so-called Magnificent 7 stocks is four times that of the small-cap Russell 2000 Index. Microsoft alone is the size of the entire Canadian stock market. (Torsten Slok, Apollo) https://t.co/xOpxqXy8Ls