While I was scrolling on Instagram, I came across this graph from Yahoo Finance, and it immediately caught my attention. It shows how the stocks of the "Magnificent 7"—Meta, Apple, Amazon, Microsoft, Google, Nvidia, and Tesla—have performed since the start of the year. The caption jokingly says that the group has turned into the "Stupendous One" because only Meta is doing well while the others are struggling.
Meta is clearly the winner here, climbing more than 20% in just a few weeks. On the other hand, Tesla and Apple are having a rough time, both dropping more than 10%. Even Nvidia, which was one of the biggest winners last year because of AI, seems to be losing some of its momentum.
One big reason for this change is that people are worried about how much companies will keep spending on AI. Meta is still benefiting from its investments, but others are facing challenges. Tesla is struggling with lower demand for its electric cars, and Apple is dealing with slower iPhone sales and government pressure.
Another reason could be higher interest rates and an uncertain economy. Investors are being more careful, choosing companies that make strong profits instead of those that just have high expectations.
Does this mean the AI boom is slowing down, or is this just a temporary shift before these stocks bounce back?
Absolutely fascinating read! It's like watching a tech soap opera where Meta is the unexpected hero while the others are having a "not-so-great" season. 📈🚀 Meta's surge is impressive, but let's not count out the rest just yet. Maybe they're just reloading for a grand comeback! What do you think—temporary blip or a sign of changing tides in the AI saga? 🤔💼
Yeah, could be definitely