What are the top 7 tech stocks in the S&P 500?
The focus remains on the "Magnificent Seven" companies, a term coined by Bank of America analyst Michael Hartnett to describe the seven largest tech-focused companies in the S&P 500 -- Microsoft, Apple, Nvidia, Amazon, Alphabet, Meta Platforms, and Tesla. Combined, they make up 28.8% of the index.
Key Facts. Apple, Microsoft, Nvidia, Tesla, Meta, Alphabet and Amazon each outgained the broader market in 2023, but it's been a mixed bag for the group over the first eight weeks of 2024 even as indexes sit at record highs.
These technology-oriented stocks are among the largest in the S&P 500 index. These include Alphabet (Google's parent company), Amazon, Apple, Meta Platforms (Facebook's parent), Microsoft and Nvidia.
Catch up fast: The Magnificent Seven are Apple, Microsoft, Alphabet, Amazon, Nvidia, Tesla, and Meta. The ranks of the top 10 include Berkshire Hathaway, Eli Lilly and chipmaker Broadcom.
Dubbed the Magnificent Seven stocks, Apple, Microsoft, Google parent Alphabet, Amazon, Nvidia, Meta Platforms and Tesla lived up to their name in 2023 with big gains. But the start of 2024 has shown a big divergence of returns.
Silicon Valley titans Alphabet, Apple, Meta and Nvidia, Seattle's Amazon and Microsoft and electric vehicle giant Tesla gained more than $2.1 trillion in market capitalization year-to-date through Thursday's market close cumulatively, according to FactSet data.
While Buffett doesn't always follow the crowd when it comes to investment choices, he does have exposure in three out of the five “FAANG” stocks (Facebook, Amazon, Apple, Netflix, and Google) through NEAM. These large-cap tech stocks are all household names.
- Intel Corporation (NASDAQ:INTC) Number of Hedge Fund Holders: 70. ...
- Roper Technologies, Inc. (NYSE:ROP) ...
- ServiceNow, Inc. (NYSE:NOW) ...
- Apple Inc. (NASDAQ:AAPL) ...
- Marvell Technology, Inc. (NASDAQ:MRVL) ...
- Synopsys, Inc. ...
- Meta Platforms, Inc. ...
- Advanced Micro Devices, Inc.
Here's What That Means for Your Portfolio. The technology sector is driving the stock market to new highs with the S&P 500 (SNPINDEX: ^GSPC) and Dow Jones Industrial Average both closing at record levels on Jan.
- Microsoft Corp. Symbol. MSFT. Sector* Information Technology.
- Apple Inc. Symbol. AAPL. Sector* ...
- Nvidia Corp. Symbol. NVDA. Sector* ...
- Amazon.com Inc. Symbol. AMZN. Sector* ...
- Meta Platforms, Inc. Class A. Symbol. META. ...
- Alphabet Inc A. Symbol. GOOGL. Sector* ...
- Berkshire Hathaway B. Symbol. BRK.B. Sector* ...
- Alphabet Inc C. Symbol. GOOG. Sector*
What are the golden 7 stocks?
Coined by Bank of America analyst Michael Hartnett in 2023, the "Magnificent 7" refers to a group of high-performing U.S. stocks including Microsoft (MSFT), Amazon (AMZN), Meta (META), Apple (AAPL), Google parent Alphabet (GOOGL), Nvidia (NVDA), and Tesla (TSLA).
- Nvidia. Nvidia (NASDAQ: NVDA) sells the world's top-performing artificial intelligence (AI) chip, the H100 graphics processing unit (GPU) that powers crucial operations such as the training and inference of AI models. ...
- Amazon.
The phrase "Magnificent Seven" was coined last year to describe the seven most prominent tech companies, which include Alphabet, Amazon (NASDAQ: AMZN), Apple, Meta Platforms, Microsoft, Nvidia (NASDAQ: NVDA), and Tesla.
The recent dominance of Meta, Microsoft and Nvidia, along with Apple, Alphabet, Amazon, and Tesla – the so-called Magnificent Seven tech stocks – is indicative of “a fundamental shift”, primarily propelled by advancements in AI.
The AIQ ETF holds each of the "Magnificent Seven" stocks
Portfolio weightings as of March 15, 2024, and are subject to change. AIQ's largest holding is Nvidia, which is great considering it was the best-performing stock in the entire S&P 500 index in 2023.
In a famous paper, “The Magical Number Seven, Plus or Minus Two: Some Limits on Our Capacity for Processing Information” (1956), Miller proposed as a law of human cognition and information processing that humans can effectively process no more than seven units, or chunks, of information, plus or minus…
For over a decade, the Magnificent Seven - Apple, Amazon, Alphabet, Meta Platforms, Microsoft, Nvidia, andTesla - have dominated the tech scene. But with recent market fluctuations, investors wonder: are they still golden tickets?
The Bottom Line
The S&P 500 weights constituent companies by market cap, meaning larger firms carry significantly more weight than those with small market values. As a result, tech giants such as Apple, Microsoft, Nvidia, and Amazon greatly influence the index's performance.
| Ticker | Company | % Portfolio |
|---|---|---|
| BRK.B | Berkshire Hathaway Inc. | 16.80% |
| CNI | Canadian National Railway Co. | 16.29% |
| WM | Waste Management Inc. | 14.92% |
| CAT | Caterpillar Inc. | 5.14% |
Tesla is the world's most valuable auto manufacturer, with a market capitalization of $611 billion. CEO Elon Musk is by far the largest shareholder, with over 20% of the company's equity. Besides Musk, the largest shareholders are asset management companies like BlackRock, Vanguard, and State Street.
What is the most promising AI stock?
| Ticker | Company | Performance (Year) |
|---|---|---|
| NVDA | NVIDIA Corp | 236.77% |
| SOUN | SoundHound AI Inc | 175.00% |
| UPST | Upstart Holdings Inc | 111.88% |
| SYM | Symbotic Inc | 97.47% |
| Stock | Expected Change in Stock Price* |
|---|---|
| Tesla Inc. (TSLA) | 61% |
| Mastercard Inc. (MA) | 14.2% |
| Salesforce Inc. (CRM) | 7.2% |
| Advanced Micro Devices Inc. (AMD) | 11.3% |
- MercadoLibre: The other e-commerce leader. ...
- Chipotle Mexican Grill: A forever stock. ...
- On Holding: The newest name in premium activewear.
- MSFT421.65-1.21% Microsoft Corporation.
- AAPL169.71-1.14% Apple Inc.
- NVDA925.61-24.41% NVIDIA Corporation.
- GOOG151.700.55% Alphabet Inc.
- AMZN178.30-1.41% Amazon.com, Inc.
- META495.89-7.13% Meta Platforms, Inc.
- TSLA177.675.04% Tesla, Inc.
- CRM305.83-0.23% Salesforce, Inc.
- Microsoft Corp. Symbol. MSFT. Sector* Information Technology.
- Apple Inc. Symbol. AAPL. Sector* ...
- Nvidia Corp. Symbol. NVDA. Sector* ...
- Broadcom Inc. Symbol. AVGO. Sector* ...
- Advanced Micro Devices. Symbol. AMD. Sector* ...
- Salesforce, Inc. Symbol. CRM. Sector* ...
- Adobe Inc. Symbol. ADBE. Sector* ...
- Accenture plc A. Symbol. ACN. Sector*
References
- https://finance.yahoo.com/news/3-artificial-intelligence-ai-stocks-104500608.html
- https://finance.yahoo.com/news/magnificent-three-unveiling-top-performers-165200191.html
- https://www.forbes.com/sites/investor-hub/article/best-warren-buffett-stocks-buy-hold-2024/
- https://finance.yahoo.com/news/3-incredible-stocks-could-supercharge-095000306.html
- https://www.fool.com/investing/2024/03/19/dont-buy-magnificent-seven-stocks-do-this-instead/
- https://money.usnews.com/investing/articles/george-soros-top-stock-picks
- https://www.spglobal.com/spdji/en/indices/equity/sp-500-top-50/
- https://www.5paisa.com/share-market-today/hot-stocks
- https://www.businessinsider.com/how-warren-buffett-spends-money-net-worth
- https://www.fool.com/investing/2024/03/24/2-growth-stocks-to-buy-and-hold-forever/
- https://money.usnews.com/investing/stock-market-news/slideshows/best-performing-stocks-of-the-past-30-years
- https://finance.yahoo.com/news/13-best-american-tech-stocks-200555015.html
- https://russellinvestments.com/us/blog/market-concentration-magnificent-seven
- https://insight.factset.com/sp-500-reporting-lowest-net-profit-margin-in-more-than-3-years-for-q4
- https://www.etf.com/topics/mlps
- https://www.kiplinger.com/investing/stocks/warren-buffett-stocks-berkshire-hathaway-portfolio
- https://www.investopedia.com/berkshire-hathaway-does-not-hold-nvidia-stock-will-warren-buffett-come-to-regret-it-8600072
- https://www.kiplinger.com/investing/stocks/best-stocks-to-buy-now
- https://finance.yahoo.com/news/cheapest-magnificent-seven-stock-turn-153000791.html
- https://finance.yahoo.com/news/2-warren-buffett-investments-recommends-112000377.html
- https://www.forbes.com/sites/dereksaul/2023/04/10/these-7-tech-stocks-command-almost-90-of-the-sp-500s-gains-signaling-market-rally-may-not-be-so-healthy/
- https://finance.yahoo.com/news/forget-nvidia-3-other-artificial-072700213.html
- https://finance.yahoo.com/news/20-tech-stocks-over-35-152000894.html
- https://www.forbes.com/sites/dereksaul/2024/02/27/not-so-magnificent-seven-big-tech-stocks-that-led-2023s-rally-are-on-different-trajectories/
- https://www.investors.com/etfs-and-funds/sectors/sp500-these-stocks-only-go-up-best/
- https://finance.yahoo.com/news/warren-buffett-says-took-pleasure-190011733.html
- https://www.kiplinger.com/investing/analysts-top-sandp-500-stocks-to-buy-now
- https://finance.yahoo.com/news/14-money-making-stocks-invest-134504176.html
- https://www.barrons.com/livecoverage/stock-market-today-022224/card/stock-futures-surge-as-nvidia-earnings-reignite-the-tech-rally-w6wTNn6JKmRLHKX1G60Z
- https://www.nerdwallet.com/article/investing/ai-stocks-invest-in-artificial-intelligence
- https://www.kiplinger.com/investing/stocks/where-can-the-magnificent-seven-stocks-go-in-2024
- https://www.forbes.com/advisor/investing/stock-market-outlook-and-forecast/
- https://www.screener.in/screens/230424/bullish-stock/
- https://www.investopedia.com/articles/insights/052616/top-4-tesla-shareholders-tsla.asp
- https://finance.yahoo.com/news/13-best-stocks-buy-hold-175854400.html
- https://money.usnews.com/investing/articles/magnificent-7-stocks-explainer
- https://www.mellon.com/insights/insights-articles/a-closer-look-at-magnificent-seven-stocks.html
- https://www.reuters.com/technology/elon-musks-ai-start-up-seeks-raise-up-6-bln-ft-2024-01-26/
- https://www.roundhillinvestments.com/etf/mags/
- https://finance.yahoo.com/news/history-suggests-nasdaq-surge-2024-081500539.html
- https://www.forbes.com/advisor/investing/best-stocks-to-buy-now/
- https://www.lendenclub.com/blog/10-best-shares-to-buy-today-for-long-term/
- https://www.spglobal.com/spdji/en/indices/equity/sp-500-information-technology-sector/
- https://www.barrons.com/livecoverage/stock-market-today-032724/card/apple-leads-the-magnificent-7-stocks-nvidia-shares-decline--KhyOQFZLho4P4xP4mea0
- https://www.kiplinger.com/investing/stocks/what-are-the-magnificent-7-stocks
- https://www.tipranks.com/stocks/wmt/forecast
- https://www.barrons.com/articles/sp-500-tech-magnificent-seven-00c0ab36
- https://www.nerdwallet.com/article/investing/most-expensive-stocks
- https://finance.yahoo.com/news/nvidia-corporations-nasdaq-nvda-high-140012837.html
- https://www.investopedia.com/what-to-expect-from-magnificent-7-in-2024-more-gains-from-ai-8418549
- https://www.litefinance.org/blog/analysts-opinions/zoom-stock-forecast/
- https://www.analyticsvidhya.com/blog/2024/02/best-ai-penny-stocks-to-buy-now/
- https://technologymagazine.com/articles/magnificent-seven-tech-companies-driving-forward-with-ai
- https://www.nerdwallet.com/article/investing/warren-buffett-stocks-berkshire-hathaway
- https://www.investopedia.com/financial-edge/0411/the-6-highest-paid-people-on-wall-street.aspx
- https://www.forbes.com/advisor/investing/stock-market-forecast-2024/
- https://www.investopedia.com/financial-edge/0711/the-highest-priced-stocks-in-america.aspx
- https://www.etfcentral.com/news/sp-500-hits-new-all-time-highs-3-sp-500-etfs-to-watch
- https://www.investopedia.com/stock-analysis/2012/7-of-the-highest-stock-prices-in-history-brk-b-aapl-seb-nvr1114.aspx
- https://www.nasdaq.com/articles/prediction%3A-this-will-be-the-next-magnificent-seven-stock
- https://www.nasdaq.com/articles/here-are-warren-buffetts-top-artificial-intelligence-ai-stock-picks
- https://finance.yahoo.com/news/jeff-bezos-early-investor-google-185940547.html
- https://finance.yahoo.com/news/13-best-major-stocks-buy-122146335.html
- https://www.barrons.com/articles/nvidia-stock-magnificent-seven-cyclicals-c9b982fc
- https://www.investopedia.com/ask/answers/08/find-stocks-in-sp500.asp
- https://www.forbes.com/sites/jacobwolinsky/2024/03/04/a-magnificent-2024-managers-review-their-magnificent-seven-holdings/
- https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/just-7-companies-are-carrying-the-s-p-500-in-2023-75823741
- https://finance.yahoo.com/news/5-tech-stocks-warren-buffett-213549908.html
- https://www.slickcharts.com/sp500
- https://www.theglobeandmail.com/investing/markets/stocks/GOOG-Q/pressreleases/14700267/warren-buffett-owns-3-faang-stocks-but-he-especially-loves-this-one/
- https://finance.yahoo.com/news/2-magnificent-seven-stocks-buy-201000743.html
- https://www.forbes.com/sites/danirvine/2024/03/20/magnificent-7-momentum-is-slowing-signals-caution/
- https://money.usnews.com/investing/articles/best-growth-stocks-to-buy
- https://en.wikipedia.org/wiki/Rakesh_Jhunjhunwala
- https://money.usnews.com/investing/articles/best-long-term-stocks-to-buy
- https://www.investopedia.com/best-25-sp500-stocks-8550793
- https://etfdb.com/compare/highest-5-year-returns/
- https://www.usbank.com/investing/financial-perspectives/market-news/investing-in-tech-stocks.html
- https://www.investopedia.com/magnificent-seven-stocks-8402262
- https://www.investors.com/news/is-tesla-stock-a-buy-or-a-sell-right-now-as-elon-musk-teases-cybertruck/
- https://www.nasdaq.com/articles/warren-buffett-refuses-to-buy-this-magnificent-seven-stock-but-its-the-best-dividend-payer
- https://www.fool.com/investing/2024/01/28/20-tech-stocks-sp-500-buy-2024-invest/
- https://foolwealth.com/insights/sp500-and-the-magnificent-7-in-2024
- https://finbox.com/NASDAQGS:PYPL/explorer/indexes/
- https://www.cnbc.com/2024/03/08/jim-cramer-reviews-citis-european-super-seven.html
- https://finance.yahoo.com/news/59-vanguard-etf-invested-magnificent-105000267.html?prefer_reader_view=1&prefer_safari=1
- https://www.morningstar.com/markets/after-earnings-is-berkshire-hathaway-stock-buy-sell-or-fairly-valued
- https://www.investors.com/research/magnificent-seven-stocks-to-buy-and-and-watch/
- https://www.barrons.com/articles/tesla-stock-nvidia-ev-ai-chips-c56664cc
- https://www.nasdaq.com/articles/3-millionaire-maker-technology-stocks-1
- https://www.tipranks.com/stocks/amzn/forecast
- https://www.bankrate.com/investing/top-mega-cap-stocks/
- https://finance.yahoo.com/news/20-best-stocks-buy-now-183621401.html
- https://www.britannica.com/topic/The-Magical-Number-Seven-Plus-or-Minus-Two-Some-Limits-on-Our-Capacity-for-Processing-Information
- https://www.cnbc.com/select/what-is-sp-500-how-to-invest/
- https://companiesmarketcap.com/artificial-intelligence/largest-ai-companies-by-marketcap/
- https://www.theinvestorspodcast.com/legend-investors-stock-portfolio/bill-gates-stock-portfolio/
- https://finance.yahoo.com/news/magnificent-seven-stock-poised-most-091400084.html
- https://www.axios.com/2024/02/05/sp500-magnificent-seven-stock-market
- https://www.gobankingrates.com/investing/stocks/best-ai-stocks-under-5-dollars/
- https://finance.yahoo.com/u/yahoo-finance/watchlists/tech-stocks-that-move-the-market/
- https://finance.yahoo.com/news/3-top-artificial-intelligence-stocks-112500349.html
- https://www.indmoney.com/articles/most-expensive-stocks-in-the-world
- https://finance.yahoo.com/most-active
- https://www.screener.in/screens/355766/highest-return-in-1-year/
- https://finance.yahoo.com/gainers/
- https://money.usnews.com/investing/articles/awesome-dividend-stocks-for-guaranteed-income
