Meet the Only 3 “Magnificent Seven” Stocks Outperforming the Nasdaq Composite Over the Last 3 Months

The “Magnificent Seven” companies have been making waves in the market in 2023 with their impressive gains. However, recent trends suggest that the group may be losing some of its momentum.

Among the Magnificent Seven stocks, only Nvidia, Alphabet, and Amazon have managed to outperform the Nasdaq Composite over the last three months. Each of these companies has its own unique reasons for their success, but the question remains whether they are still good investments and how investors should approach them.

Nvidia, a leader in artificial intelligence (AI), has seen significant growth in its fundamentals, with analysts expecting the company to double its earnings in 2025. While some may view the stock as overvalued, its strong growth potential and market leadership position make it an attractive investment option.

Alphabet, on the other hand, has seen a resurgence in its stock price, driven by strong results in its core businesses like Google Search, Google Cloud, YouTube, and Android. The company recently announced its first dividend, signaling its confidence in its future growth prospects.

Amazon, which faced challenges in 2022, has made a comeback in 2023, with its cloud computing division, Amazon Web Services, leading the way. Despite its impressive growth, the stock remains expensive, prompting investors to consider its valuation based on factors like price-to-earnings (P/E) ratio and price-to-sales (P/S) ratio.

DailyBubble’s perspective on these stocks is that while they have shown strong performance in the recent past, investors should consider the long-term growth potential and valuation of each company before making investment decisions. It’s important to look beyond short-term trends and focus on companies that have a solid growth strategy for the future.

In conclusion, the Magnificent Seven stocks offer a mix of growth and value opportunities, but investors should carefully evaluate each company’s prospects before investing. By focusing on companies with a strong track record and a clear growth strategy, investors can make informed decisions that align with their long-term investment goals.