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The Magnificent Seven — the group of tech stocks comprised of Alphabet (GOOG, GOOGL), Apple (AAPL), Nvidia (NVDA), Tesla (TSLA), Amazon (AMZN), Meta Platforms (META), and Microsoft (MSFT) — has dropped to a two-month low, falling nearly 9% since its December peak.
Tesla, Microsoft, and Alphabet are among the biggest laggards, with Meta being the only stock in the green.
Yahoo Finance's Madison Mills joins Morning Brief hosts Brad Smith and Seana Smith to discuss the Big Tech group nearing correction territory ahead of Nvidia's latest earnings report, due out Wednesday, February 26.
To watch more expert insights and analysis on the latest market action, check out more Morning Brief here.
This post was written by Josh Lynch
Time now for our chart of the day. Let's send it over to Madison Mills. She has a closer look at the moves lower that we've seen more recently in the mag seven names, Maddie.
That's exactly right, Sean. And the Magnificent Seven ETF is at a two-month low this morning. You can see here the magnificent seven names falling nearly 9% since their peak back in December. You can see the last time that the mag 7 ETF entered near correction territory, which would mean a decline of 10%, was back in August during that sell-off that hit below 15%. So we are inching towards that territory. When you look under the hood, it's really interesting to see which of these seven names are the biggest movers here. Tesla is the biggest laggard of the group falling since its December high, followed by Microsoft and Alphabet. As we've continued to mention, given that 20 session streak of meta, they are the only member of the mag 7 that's been in the green during this a little bit of a route, you could say that the mag 7 names have entered here as they near towards that correction territory. But of course, the focus of the mag 7 this week is Nvidia heading for those earnings on Wednesday. And I saw this stat this morning that really stood out to me, this idea of, you know, pressures on in video with deep seek and cheaper AI has led to a little bit of a sell-off in that name to the tune of $600 billion in the month of January. But we're still seeing investors piling into the stock. $5.7 billion has gone into Nvidia this year. That is more than double the amount of inflows Nvidia saw year to date at this time last year. So we're still seeing some bullishness in the stock. This stock has 90% buy rating from Wall Street. If you take a look at the analyst recommendations on Bloomberg, of course, we will continue to monitor Nvidia and the rest of the mag 7 as we head into that key chip giant earnings tomorrow, guys.
Key, critical report. Can't wait. Maddie, thank you so much. Appreciate it.