💻 AI hardware & infrastructure were the biggest beneficiaries of the AI boom with Microsoft, Amazon, Oracle, Google, Meta and others spending zillions.
With the rise of DeepSeek & other small models, questions are the following: 1) Will these giants maintain their spending forecasts? 2) How they justify it after DeepSeek release? 3) Will the perceived value move up the chain towards applications? Source: Deutsche Bank thru Ali Dhanji @DhanjiatRJ on X
Over a third of the S&P 500 is now concentrated in the "Magnificent Seven" stocks, up from a fifth of the index two years ago.
Source: Charlie Bilello
Mag 7 EPS vs SPX last 20 years
Source: GS, Mike Zaccardi, CFA, CMT, MBA
The Enormous Eight: 2024 Returns
Nvidia $NVDA: +171% Netflix $NFLX: +83% $META: +66% Tesla $TSLA: +63% Amazon $AMZN: +44% Google $GOOGL: +36% Apple $AAPL: +31% -S&P 500 $SPY: +25% Microsoft $MSFT: +13% -S&P Equal Weight $RSP: +13% -S&P SmallCap $IJR: +9% Source: Charlie Bilello
An ETF that tracks the Mag7, $MAGS, registered its largest inflow since inception last Friday,
gathering +$157mm (~8% of current AUM), pushing December inflows to +$800mm (~41% of current AUM) Source: GS, zerohedge
Not the Magnificent 7, but 2024 was the year of BATMMAAN! 🦇
BATMMAAN: +70% YTD Mag 7: +65% YTD S&P 500: +27% YTD Source: Wall St Engine,@wallstengine
BREAKING: There is now a 77% chance of at least one Magnificent 7 company buying Bitcoin in 2025.
The odds of a Magnificent 7 company buying Bitcoin before 2026 have jumped from 49% to 77%, according to @Kalshi .This comes as Michael Saylor has called on Microsoft, $MSFT, and other technology giants to buy Bitcoin. Prediction markets see more Bitcoin adoption ahead. Source: The Kobeissi Letter
The Magnificent 7 has brought almost $2 Trillion of combined revenue over the last year up from $445 Billion a decade ago.
Source: Evan @StockMKTNewz, Finchat
