Is the “Magnificent Seven” Era Over? Here Are the Stocks That Replace Them

The S&P 500‘s magnificent increase over the past few years is due, in part, to the Magnificent Seven. These are seven tech or tech-related stocks that have been hitting it out of the park when it comes to growth in recent years. Some have even become household names as they make or sell products and services we use daily.

The Magnificent Seven stocks are Apple, Alphabet, Amazon, Meta Platforms, Microsoft, Nvidia, and Tesla. In recent weeks, though, these players have suffered or stagnated amid concerns about the artificial intelligence (AI) revenue opportunity and general worries about the economy and geopolitical environment.

Will AI create the world’s first trillionaire? Our team just released a report on the one little-known company, called an “Indispensable Monopoly” providing the critical technology Nvidia and Intel both need. Continue »

Is the Magnificent Seven era over? If it is, the following three stocks could replace them…

Image source: Getty Images.

When you think of AI chips, you probably think of market leader Nvidia. But another company actually manufactures Nvidia’s chips and the chips of other market leaders. That’s Taiwan Semiconductor Manufacturing (NYSE: TSM), and this role in AI makes it a very likely winner in the AI growth story.

On top of this, TSMC makes chips for non-AI uses, which can be in the area of smartphones or personal computers, for example, so the company’s successes aren’t tied to one particular company or trend. All of this broadens the opportunity for gains in the years to come.

Broadcom (NASDAQ: AVGO) is a networking and chip giant, and the company is benefiting from tremendous AI demand. What I like about Broadcom is that it doesn’t compete directly with Nvidia — while Nvidia makes general-purpose AI chips, Broadcom’s are custom chips designed for specific tasks.

This makes it easier for Broadcom to carve out a share of the market, and it’s been doing this successfully. In the recent quarter, Broadcom forecasted more than $100 billion in AI chip revenue in 2027. Broadcom has spoken of ongoing strong demand from customers, and that could make this number a reality.

Nebius Group (NASDAQ: NBIS) is a leader in the neocloud space, offering AI chips and services to customers to rent as needed. Cloud giants such as Amazon and Microsoft offer a broad range of services to customers, well beyond AI, while Nebius focuses on AI workloads.

This focus helps Nebius stand out and, so far, has led to tremendous growth. The company’s annual recurring revenue reached $1.25 billion in the recent full year, and given the level of demand for capacity, Nebius expects that figure to climb to the range of $7 billion to $9 billion this year.

Nebius has advanced about 20% so far this year, but it could have plenty of room to run — and may become a leading tech player in the years to come.

Before you buy stock in Taiwan Semiconductor Manufacturing, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Taiwan Semiconductor Manufacturing wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you’d have $532,066!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $1,087,496!*

Now, it’s worth noting Stock Advisor’s total average return is 926% — a market-crushing outperformance compared to 185% for the S&P 500. Don’t miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.

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*Stock Advisor returns as of April 4, 2026.

Adria Cimino has positions in Amazon and Tesla. The Motley Fool has positions in and recommends Alphabet, Amazon, Apple, Meta Platforms, Microsoft, Nvidia, Taiwan Semiconductor Manufacturing, and Tesla and is short shares of Apple. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.

Is the “Magnificent Seven” Era Over? Here Are the Stocks That Replace Them was originally published by The Motley Fool

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