Is the Magnificent Seven era over? Three stocks that could replace them.

The “Magnificent Seven” stocks—Apple, Alphabet, Amazon, Meta Platforms, Microsoft, Nvidia, and Tesla—have led market gains over the past few years, but they have slipped or stagnated in recent weeks amid concerns about the artificial intelligence (AI) revenue opportunity and broader worries about the economy and the geopolitical environment. The article asks whether the Magnificent Seven era could be giving way to other technology names.

Cause: AI revenue questions and macro/geopolitical concerns

In recent weeks, the group’s performance has been pressured by uncertainty around how quickly AI-related revenue opportunities will materialize, alongside general concerns about economic conditions and the geopolitical environment.

Development: Three potential replacements

Taiwan Semiconductor Manufacturing (TSM)

The article highlights Taiwan Semiconductor Manufacturing (TSMC) as a key supplier for AI chips, noting that while Nvidia is often associated with AI chips, TSMC manufactures Nvidia’s chips and those of other market leaders. It also points out that TSMC produces chips for non-AI end markets such as smartphones and personal computers, which the article says can broaden the opportunity beyond a single company or trend.

Broadcom

Broadcom is described as a networking and chip company benefiting from AI demand. The article emphasizes that Broadcom does not compete directly with Nvidia, arguing that Nvidia focuses on general-purpose AI chips while Broadcom’s chips are custom-designed for specific tasks. It cites Broadcom’s forecast of more than $100 billion in AI chip revenue in 2027 and says the company has indicated ongoing strong demand from customers.

Nebius Group

Nebius Group is presented as a focused provider in the “neocloud” space, offering AI chips and services that customers can rent as needed. The article contrasts this with cloud giants such as Amazon and Microsoft, which provide a broader range of services beyond AI, while Nebius focuses on AI workloads.

The article includes several performance and financial figures for Nebius: its “current price” is listed as $108.82 and “today’s change” as 6.74%. It states that annual recurring revenue reached $1.25 billion in the recent full year, and that Nebius expects this figure to rise to a range of $7 billion to $9 billion this year. It also notes the stock has advanced about 20% so far this year.

Impact and outlook presented in the article

The article concludes that these three companies—TSMC, Broadcom, and Nebius Group—could benefit if investor focus shifts away from the Magnificent Seven, citing diversification across end markets for TSMC, AI-related revenue forecasts for Broadcom, and rapid growth expectations for Nebius tied to demand for AI capacity.