From Nasdaq: 2024-11-10 12:41:00

The “Magnificent Seven” stocks have outperformed with impressive average annual returns over the past decade and beyond. The seven stocks are Apple, Amazon, Alphabet, Meta Platforms, Microsoft, Nvidia, and Tesla. Each has shown significant growth, with Nvidia leading the pack with a 77.71% 10-year average annual return.

Amazon continues to show strong growth, with third-quarter revenue up 11% year over year and net income up 55%. Despite a recent forward P/E ratio of 34, below its five-year average of 53, the stock appears attractively valued for potential investors.

Meta Platforms, formerly Facebook, boasts a massive user base of 3.3 billion across its platforms. With revenue up 19% year over year in the third quarter, the stock may continue its rapid growth trajectory, making it an appealing investment option.

Alphabet, the parent company of Google, saw revenue increase by 15% year over year in the third quarter, with net income up 34%. The stock’s recent forward P/E of 19 is below its five-year average of 23, indicating a somewhat fair valuation for potential investors.

Microsoft, known for its diverse business offerings, reported a 16% year-over-year revenue increase in its latest quarter. With a recent forward P/E of 31 close to its five-year average of 30, the stock remains appealing for those seeking long-term growth potential.

Investing in any of these Magnificent Seven stocks could lead to significant returns over time, even if parabolic gains are not guaranteed. Consider the growth potential, valuation, and industry positioning of each stock before making investment decisions.



Read more at Nasdaq: Will These 4 “Magnificent Seven” Tech Stocks Go Parabolic? Why You Might Win Even if They Don’t.