How to invest in “Magnificent 7” stocks

Find out what the Magnificent Seven companies are, how they're performing and how to start trading Magnificent 7 stocks from Canada.

Given the Magnificent Seven companies global status and growth curves over time, they’re understandably popular with hobby traders and day traders alike. But that can mean that their stock price can be over-inflated, and prone to wild movements based on the latest news.

Here’s how the Magnificent 7 stocks are tracking right now, the returns they’ve provided and how to buy their stocks.

What is the Magnificent Seven?

The “Magnificent Seven” is a group of US tech companies that have each enjoyed stratospheric growth (albeit over differing timeframes) and now represent some of the most valuable companies in the world. These seven stocks alone make up over 25% of the S&P 500 based on their weighting within the index.

What companies make up the Magnificent Seven?

The companies that make up the Magnificent Seven are:

  1. Amazon
  2. Apple
  3. Alphabet Class A (Google)
  4. Meta Platforms
  5. Microsoft Corporation
  6. NVIDIA Corporation
  7. Tesla

Summary: Magnificent 7 stocks

CompanyTicker1-year returnStock priceMarket capBuy on Interactive Brokers
Amazon

13.45%

$195.74

$2.1 trillion
Apple

22.89%

$214.00

$3.1 trillion
Google

12.06%

$164.29

$2 trillion
Meta

22.26%

$604.90

$1.5 trillion
Microsoft

-6.89%

$388.70

$2.8 trillion
Nvidia

-86.24%

$119.53

$2.8 trillion
Tesla

43.83%

$238.01

$774.2 billion

How to invest in Magnificent Seven stocks

  1. Open a share dealing platform. The first step in finding the best trading app or platform that suits your needs.
  2. Fund your account. Once your stock trading account is set up, you can deposit funds. Usually this can be done via a bank transfer, debit card, or any other means allowed by your trading platform.
  3. Choose your Magnificent Seven stocks. Decide whether you’re buying one or all of the seven stocks, and then search them up on your chosen platform (by company name or stock ticker).
  4. Place your order! Once you’ve found the stock(s), select the amount you want to invest and create an order to buy the stocks. And just like that, you’re now officially an investor in the Magnificent Seven. Yeehaw, etc.

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Details of individual Magnificent 7 stocks

If you’re interested in investing in one or all of the Magnificent 7 stocks, let’s take a closer look at who they are and why they’re so darned successful. Keep in mind — perhaps more so than usual — that positive past performance doesn’t guarantee that a stock will continue to rise in the future.

Amazon-com (AMZN.NASDAQ)

Amazon.com, Inc. engages in the retail sale of consumer products, advertising, and subscriptions service through online and physical stores in North America and internationally.
Its last market close was $195.74—a decrease of 0.43% over the previous week. Amazon-com employs 1,556,000 staff.
AMZN.NASDAQ performance
YTD performance
-93.92%
1 Year performance
28.9%
Market cap
$2.06 trillion
Revenue
$637.96 billion
Operating margin
11.29%
Headquarters
USA
Amazon-com (AMZN.NASDAQ) performance over time
Amazon’s role in the Magnificent Seven

Also a “FAANG” stock (a cool acronym that was ruined when Facebook became Meta and Google became Alphabet), Amazon has doubled down on it’s monumental success as a retail platform by being rather good at TV streaming and cloud computing too.

On top of that, the huge amounts of data at its disposal make it well placed to excel at AI, given that AI models typically require training on vast datasets. Like many in the Magnificent Seven club, it has a founder (Jeff Bezos) who’s a divisive household name… vilified by some but lauded in every self-help business book (acquired mostly on Amazon).

Apple (AAPL.NASDAQ)

Apple Inc. designs, manufactures, and markets smartphones, personal computers, tablets, wearables, and accessories worldwide.
Its last market close was $214.00—a decrease of 3.1% over the previous week. Apple employs 150,000 staff.
AAPL.NASDAQ performance
YTD performance
59.8%
1 Year performance
29.04%
Market cap
$3.15 trillion
Revenue
$395.77 billion
Operating margin
34.46%
Headquarters
USA
Apple (AAPL.NASDAQ) performance over time
Apple’s role in the Magnificent Seven

Apple is a dinosaur by Magnificent Seven standards, having been founded in 1976 — just one year after Magnificent Seven’s oldest, Microsoft. It was the first publicly-traded company to crack a $1 trillion market cap, in 2018, and then it was the first to crack $2t just two years later (and $3t two years later again).

Alphabet Inc Class A (GOOGL.NASDAQ)

Alphabet Inc. offers various products and platforms in the United States, Europe, the Middle East, Africa, the Asia-Pacific, Canada, and Latin America.
Its last market close was $164.29—an increase of 0.15% over the previous week. Alphabet Inc Class A employs 183,323 staff.
GOOGL.NASDAQ performance
YTD performance
-90.62%
1 Year performance
11.51%
Market cap
$2 trillion
Revenue
$350.02 billion
Operating margin
33.97%
Headquarters
USA
Alphabet Inc Class A (GOOGL.NASDAQ) performance over time
Alphabet’s role in the Magnificent Seven

Alphabet is the mothership for Google and YouTube and a bunch of lesser-known entities. Along with Magnificent Seven peers Meta, Apple, Amazon and Microsoft it’s been referred to as a “Big 5” tech stock. It’s controversially dominant, but in the new AI world order, it’s going to have to battle hard to maintain that dominance.

Meta Platforms (META.NASDAQ)

Meta Platforms, Inc. engages in the development of products that enable people to connect and share with friends and family through mobile devices, personal computers, virtual reality and mixed reality headsets, augmented reality, and wearables worldwide.
Its last market close was $604.90—an increase of 1.16% over the previous week. Meta Platforms employs 74,067 staff.
META.NASDAQ performance
YTD performance
121.08%
1 Year performance
44.16%
Market cap
$1.5 trillion
Revenue
$164.51 billion
Operating margin
45.28%
Headquarters
USA
Meta Platforms (META.NASDAQ) performance over time
Meta’s role in the Magnificent Seven

Meta Platforms is the only Magnificent Seven member to have a Hollywood movie dramatizing its inception… we think… probably. Back then it was plain old “Facebook” — the big rebrand came in 2021, at a time when everybody was very excited about the “metaverse” — not least Mark Zuckerberg. But in fairness, the name had become a bit reductive, given the huge success of WhatsApp and Instagram.

Microsoft Corporation (MSFT.NASDAQ)

Microsoft Corporation develops and supports software, services, devices and solutions worldwide. The Productivity and Business Processes segment offers office, exchange, SharePoint, Microsoft Teams, office 365 Security and Compliance, Microsoft viva, and Microsoft 365 copilot; and office consumer services, such as Microsoft 365 consumer subscriptions, Office licensed on-premises, and other office services.
Its last market close was $388.70—an increase of 2.17% over the previous week. Microsoft Corporation employs 228,000 staff.
MSFT.NASDAQ performance
YTD performance
73.78%
1 Year performance
2.04%
Market cap
$2.82 trillion
Revenue
$261.81 billion
Operating margin
45.46%
Headquarters
USA
Microsoft Corporation (MSFT.NASDAQ) performance over time
Microsoft’s role in the Magnificent Seven

Microsoft is the granddaddy of the Magnificent Seven group, having existed before all the others (OK, it was only a year ahead of Apple, in terms of founding dates). The OG PC-maker was the third company in the world to a crack a $1 trillion valuation.

You could perhaps be forgiven for questioning whether Microsoft really belongs in the same list as these other companies that have so clearly changed the way we do things in the last decade or so, but don’t forget that Microsoft owns just a smidge under 50% of OpenAI, the makers of ChatGPT. We’ve also got Microsoft to thank for the Xbox, LinkedIn, GitHub, and Bing, amongst other things, so it’s not just all about Windows!

NVIDIA Corporation (NVDA.NASDAQ)

NVIDIA Corporation, a computing infrastructure company, provides graphics and compute and networking solutions in the United States, Singapore, Taiwan, China, Hong Kong, and internationally. The Compute & Networking segment comprises Data Center computing platforms and end-to-end networking platforms, including Quantum for InfiniBand and Spectrum for Ethernet; NVIDIA DRIVE automated-driving platform and automotive development agreements; Jetson robotics and other embedded platforms; NVIDIA AI Enterprise and other software; and DGX Cloud software and services.
Its last market close was $119.53—an increase of 9.9% over the previous week. NVIDIA Corporation employs 36,000 staff.
NVDA.NASDAQ performance
YTD performance
-76.58%
1 Year performance
33.33%
Market cap
$2.83 trillion
Revenue
$130.5 billion
Operating margin
61.11%
Headquarters
USA
NVIDIA Corporation (NVDA.NASDAQ) performance over time
Nvidia’s role in the Magnificent Seven

Chip-maker Nvidia joined the $1 trillion valuation club in 2023. The company could be considered emblematic of the AI boom that really caught global attention in around 2022.

The components it produces are relied on by many big tech companies for the training and running of generative AI models. Its stock became so popular and grew so fast that in June 2024 it split each share into 10 shares.

Tesla (TSLA.NASDAQ)

Tesla, Inc. designs, develops, manufactures, leases, and sells electric vehicles, and energy generation and storage systems in the United States, China, and internationally.
Its last market close was $238.01—an increase of 3.22% over the previous week. Tesla employs 125,665 staff.
TSLA.NASDAQ performance
YTD performance
-65.93%
1 Year performance
74.35%
Market cap
$774.16 billion
Revenue
$97.7 billion
Operating margin
6.16%
Headquarters
USA
Tesla (TSLA.NASDAQ) performance over time
Tesla’s role in the Magnificent Seven

So much more than futuristic trucks and self-driving cars, Tesla is a “clean energy company”. So while it’s best known for its electric vehicles, it’s really a pioneer in battery energy storage products.

Tesla is headquartered somewhat ironically in oil heartland, Texas. In 2021, under CEO Elon Musk, it became the seventh company to surpass a trillion dollar valuation. But Musk wasn’t actually there from the get-go, interestingly enough — he joined one year in.

What is the total market capitalization of Magnificent 7 stocks?

The market capitalization of all Magnificent 7 stocks totals to over $15 trillion based on the following breakdowns:

  1. Amazon: $2.1 trillion
  2. Apple: $3.1 trillion
  3. Alphabet Class A (Google): $2 trillion
  4. Meta Platforms: $1.5 trillion
  5. Microsoft Corporation: $2.8 trillion
  6. NVIDIA Corporation: $2.8 trillion
  7. Tesla: $774.2 billion

Should you invest in Magnificent 7 stocks?

While there are no guarantees in the investment world, the Magnificent Seven companies have seen impressive growth over the past several years. For example, the MAGS ETF saw 1-year annualized performance growth of 64.01% (as of 12/31/24). The companies are still some of the biggest players in the stock market in the world.

However, with inflation, Bank of Canada interest rate announcements and economic instability concerning investors, consider that the Magnificent 7 stocks will often follow what the overall market is doing. Before investing in these companies or related ETFs, it’s important to examine their performance and market trends to decide if this is the right investment for you.

Is there a Magnificent 7 ETF?

Yes. An ETF that lets you invest in the Magnificent Seven is the Roundhill Magnificent Seven ETF (MAGS). This ETF offers a portfolio entirely geared towards the Magnificent Seven companies with equal weight exposure to Magnificent 7 stocks.

An ETF (“exchange traded fund”) is a pool of stocks in several companies. You can buy shares in the ETF itself, just as if it was a company. This means you don’t have to buy shares in all seven of the Magnificent 7 companies individually. But if there’s one of the seven that you don’t like, well… tough: With ETFs you ride or die with all the companies.

Roundhill Magnificent Seven ETF (MAGS.NASDAQ)

The fund is an actively managed exchange-traded fund ("ETF") that pursues its investment objective by seeking investment exposure to the largest companies ("Underlying Issuers") in one or more of the following industries, each of which is defined by an independent industry classification scheme: Technology Hardware Industry; E-Commerce Discretionary Industry; Internet Media & Services Industry; and Software Industry (collectively, the "Technology Industries"). The fund is non-diversified..
Its last market close was $47.19. Roundhill Magnificent Seven ETF employs 0 staff and has a trailing 12-month revenue of around $N/A.
Roundhill Magnificent Seven ETF (MAGS.NASDAQ) performance over time

Other ETFs that let you invest in Magnificent 7 stocks

If you want to invest in the Magnificent Seven but also want to diversify your investments with other high-performing companies, there are several other ETFs that include both Magnificent 7 stocks along with other promising stocks. Here are just a few:

Vanguard Mega Cap Growth Index Fund ETF Shares (MGK.NYSE ARCA)

The fund employs an indexing investment approach designed to track the performance of the index. The index is a float-adjusted, market-capitalization-weighted index designed to measure equity market performance of mega-capitalization growth stocks in the United States.
Its last market close was $315.41. Vanguard Mega Cap Growth Index Fund ETF Shares employs 0 staff and has a trailing 12-month revenue of around $N/A.
Vanguard Mega Cap Growth Index Fund ETF Shares (MGK.NYSE ARCA) performance over time

Invesco NASDAQ 100 ETF (QQQM.NASDAQ)

The fund generally will invest at least 90% of its total assets in the securities that comprise the underlying index. Strictly in accordance with its guidelines and mandated procedures, Nasdaq, Inc.
Its last market close was $198.76. Invesco NASDAQ 100 ETF employs 0 staff and has a trailing 12-month revenue of around $N/A.
Invesco NASDAQ 100 ETF (QQQM.NASDAQ) performance over time

iShares S-and-P 100 ETF (OEF.NYSE ARCA)

The index measures the performance of the large-capitalization sector of the U.S. equity market.
Its last market close was $274.91. iShares S-and-P 100 ETF employs 0 staff and has a trailing 12-month revenue of around $N/A.
iShares S-and-P 100 ETF (OEF.NYSE ARCA) performance over time

Bottom line

The Magnificent Seven companies encapsulate some of the highest-performing companies in the world, so it makes sense that investors have been paying close attention to these companies for a while now. If you also want to invest in these big brands, there are a couple primary ways to do it — buying individual Magnificent 7 stocks or buying into an ETF that includes the Magnificent Seven company.

Disclaimer: This information should not be interpreted as an endorsement of futures, stocks, ETFs, CFDs, options or any specific provider, service or offering. It should not be relied upon as investment advice or construed as providing recommendations of any kind. Futures, stocks, ETFs and options trading involves substantial risk of loss and therefore are not appropriate for all investors. Trading CFDs and forex on leverage comes with a higher risk of losing money rapidly. Past performance is not an indication of future results. Consider your own circumstances, and obtain your own advice, before making any trades. Read the Product Disclosure Statement (PDS) and Target Market Determination (TMD) for the product on the provider's website.

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