stocks

In the world of stocks, the Magnificent Seven, consisting of Amazon.com (AMZN), Apple (AAPL), Google’s parent Alphabet (GOOGL), Meta Platforms (META), Microsoft (MSFT), Nvidia (NVDA), and Tesla (TSLA), are shining brightly this November. These giants have played a significant role in fueling the newly confirmed market rally, with the Nasdaq composite staging a follow-through day on November 1, and the S&P 500 on November 2. They are indeed living up to their “magnificent” reputation, but there’s one exception.

Table of Contents

  1. The Magnificent Seven Stocks’ Performance
  2. S&P 500: Apple Stock
  3. Amazon Stock
  4. Google Stock
  5. Meta Stock
  6. Microsoft Stock
  7. Nvidia Stock
  8. S&P 500: Tesla Stock
  9. Frequently Asked Questions

The Magnificent Seven Stocks’ Performance

As of now, these stocks have outperformed the S&P 500, which has gained 5.3% this month, and even the Nasdaq, which has risen by 7.4% in November, with the exception of Google stock and Tesla. Here’s how they stand in terms of performance:

Ticker Company Nov. stock gain YTD gain

  • AAPL Apple 9.2% 43.5%
  • AMZN Amazon 7.9% 70.9%
  • GOOGL Google 6.9% 50.3%
  • META Meta Platforms 9.1% 173.2%
  • MSFT Microsoft 9.3% 54.1%
  • NVDA Nvidia 18.5% 230.7%
  • TSLA Tesla 6.9% 74.3%

S&P 500: Apple Stock

Apple’s stock has surged 9.2% in November. Despite hitting a multimonth low on October 26, the tech giant rebounded with strength. AAPL stock reclaimed its 50-day line on November 2, in conjunction with the S&P 500’s follow-through day.

On November 6, Apple stock rebounded from the 50-day line, offering an early entry opportunity as it crossed a downward-sloping trendline. Two sessions later, it cleared a short-term high of 182.34. Apple stock remains actionable from these entries. The ideal scenario would be for it to form a handle before breaking out, potentially lowering the buy point from the current 198.23.

In 2023, AAPL stock has already achieved an impressive 43.5% gain. However, concerns linger regarding the company’s revenue, which has seen a decline for four consecutive quarters compared to the previous year.

Amazon Stock

Amazon stock experienced a resurgence, starting from its bottom on October 26, just before reporting Q3 earnings. The company’s shares rebounded after the results, moving slightly above the 50-day line by the end of the month.

In November, AMZN stock has gained 7.9%. On the Nasdaq’s follow-through day on November 1, the shares decisively cleared the 50-day line and surpassed a 134.48 early entry point. Amazon continues its ascent towards the official buy point at 145.86, although it is now slightly extended from the early entry.

The relative strength line has reached a 52-week high on a weekly chart. So far this year, AMZN stock has rallied by 70.9%. The company’s sales growth has picked up modestly over the past two quarters, reaching 13% in Q3.

Google Stock

Google stock, after experiencing a 5.2% decline in October, followed by a 9.9% dive ending on October 27, due to disappointing Google Cloud growth, is now up 6.9% in November. It has recovered from its October setback and is now slightly below the 50-day line.

The internet giant currently holds a 141.22 buy point from an ungainly flat base. A decisive move above the 50-day line could provide an early entry opportunity. This year, GOOGL stock has surged by 50.3%. Google’s earnings and sales growth have seen an upswing for the past three quarters, reaching 42% and 11%, respectively, in Q3.

Meta Stock

Meta Platforms, formerly Facebook, has gained 9.1% in November. After some concerns about ad revenue at the start of the fourth quarter, the company’s shares bottomed on October 26. On November 1, Meta stock rebounded above its 50-day line and crossed a short trendline, providing an early entry opportunity. Shares have been on an upward trajectory.

On November 10, Meta reclaimed an old buy point at 326.20, which investors can still utilize. Alternatively, they can consider the October 12 high of 330.54 as an entry point. The RS line is at a two-year high.

Meta stock has shown a remarkable performance in 2023, surging by 173.2%. This makes it the second-biggest winner on the S&P 500 index. Meta’s earnings have rebounded, thanks to increased ad revenue and cost controls. EPS surged by 168% compared to the previous year, marking the third straight quarter of rapidly accelerating growth. Sales also climbed by 23%, making it the third consecutive quarter with notable sales gains.

Microsoft Stock

Microsoft’s stock has increased by 9.3% so far in November. The company’s shares hit a low back in late September. On November 1, MSFT stock cleared a short-term high and a trendline, offering an early entry. On November 10, Microsoft stock cleared the 366.78 cup-base buy point.

The RS line has consistently reached new highs in the past few weeks. However, one concern lies in the fact that Microsoft stock is currently 11.2% above its 50-day line. Investors may choose to wait for the shares to pause for a few days, potentially forming a handle, which would allow the 50-day moving average to catch up.

In 2023, MSFT stock has made a notable leap, gaining 54.1%. The company’s earnings and sales growth have accelerated for three consecutive quarters, reaching 27% and 13%, respectively.

On Wednesday, Microsoft is set to announce its latest AI advancements at its Ignite 2023 event. There have been reports suggesting that Microsoft might unveil its own AI chip to reduce its reliance on Nvidia GPUs.

Nvidia Stock

Nvidia’s stock has experienced a remarkable increase of 18.5% in November. The company’s shares reached a five-month low on October 31 but ended near session highs, sparking a continuous upward trend throughout November.

On November 3, the AI chip leader reclaimed its 50-day line. On November 8, Nvidia stock cleared a downward-sloping trendline, providing an early entry point. On November 10, the shares closed above a 476.09 double-bottom buy point. However, it is worth noting that the recent rally has occurred on below-average volume. November 9 marked the first day of strong volume in over two months, with the stock closing near session lows.

NVDA stock has been the top performer in the S&P 500 this year, skyrocketing by 230.7%. Nvidia’s growth has been outstanding, with earnings increasing by 429% in fiscal Q2 and revenue soaring by 101%. Investors are eagerly awaiting the third-quarter report, due on November 21, hoping for another impressive performance.

S&P 500: Tesla Stock

Tesla stock has managed to rebound by 6.9% in November, following three consecutive monthly declines, including October’s significant 19.7% plunge. The company’s shares hit bottom on October 31 but closed higher that day.

For a few days, TSLA stock hovered around its 200-day line but never decisively cleared it. Shares fell back sharply on November 9 but saw a modest bounce in the following session. The electric vehicle giant is the only one among the Magnificent Seven that isn’t in the buy range or close to it.

Tesla’s RS line is just above five-month highs. In 2023, TSLA stock has jumped by 74.3%. However, Tesla’s earnings have experienced a 37% decline in the third quarter, with earnings per share at the lowest level in two years. Revenue growth has also slowed down significantly to just 9%. Although a Cybertruck delivery event is scheduled for November 30, CEO Elon Musk has made it clear that the vehicle won’t provide a financial boost for quite some time.

Frequently Asked Questions

1. Why are the Magnificent Seven stocks performing exceptionally well in November?

The Magnificent Seven stocks, including Amazon, Apple, Google, Meta, Microsoft, Nvidia, and Tesla, are performing well in November due to the positive market conditions, confirmed by the Nasdaq and S&P 500 follow-through days. Each of these companies has unique strengths contributing to their growth.

2. Which of the Magnificent Seven stocks are in buy range?

Apple stock, Meta Platforms, Microsoft, and Nvidia are currently in buy range. Amazon’s stock is near buy points, Google stock is making a recovery, and Tesla remains the furthest from being actionable.

3. What are the concerns regarding Apple’s performance?

While Apple’s stock has shown impressive gains in 2023, there are concerns about its revenue, which has declined for four consecutive quarters compared to the previous year.

4. How has Amazon’s stock performed in 2023?

Amazon’s stock has rallied significantly in 2023, with a 70.9% gain. The company has also experienced modest growth in sales and earnings over the past few quarters.

5. What caused the decline in Google’s stock in October?

Google’s stock declined in October due to disappointing Google Cloud growth. However, it has since rebounded and is making a recovery in November.

6. Why is Meta Platforms considered one of the top performers in 2023?

Meta Platforms has surged by 173.2% in 2023, making it one of the top performers on the S&P 500 index. This growth is attributed to rebounding ad revenue and cost controls, leading to significant earnings and sales growth.

7. What are Microsoft’s plans for AI advancements?

Microsoft is set to announce its latest AI advancements at its Ignite 2023 event. There have been reports that the company may unveil its own AI chip to reduce its dependence on Nvidia GPUs.

8. How has Nvidia’s stock performed in 2023, and what are investors expecting for the third quarter?

Nvidia’s stock has skyrocketed by 230.7% in 2023, and investors are anticipating another impressive performance in the third quarter, with expectations of a beat-and-raise report.

9. Why is Tesla the only Magnificent Seven stock not in buy range?

Tesla’s stock experienced a significant decline in October and has not yet recovered to reach a buy range. Concerns arise from declining earnings and slowing revenue growth.

In conclusion, the Magnificent Seven stocks have displayed strong performance in November, driving the market rally. Each of these giants has unique factors contributing to their success, and investors continue to watch their progress with great interest.

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