What ‘Magnificent 7’ stocks need to show to revive the trade

After the brutal first quarter, the referee is outside whether the toes will be dipped in the “amazing” massacre.

“Perhaps what happens is that they feel heavy-where there are many gains in it and there are no many new buyers who do not understand the story and have already participated,” Keith Lenerner, head of investment in True, told Yahoo Finance. “Also a great concern is now that technology is in excessive spending.”

Those concerns led to an unfamiliar start to 2025 for the regiment, which was a leader in the market.

The wonderful Bloomberg index fell seven by 16 % in the first quarter, erasing about $ 2.4 trillion from the maximum market. In comparison, the S&P 500 (^GSPC) lost 8.5 % in the quarter, while Dow Jones Industrial (^DJI) threw 6 %.

Tesla (TSLA) was the worst seven wonderful shares in the quarter, a decrease of 36 %. NVIDIA (NVDA) released 17 %. The alphabet (Goog) lost 18 %. Amazon (AMZN) decreased 14 %. Microsoft (MSFT) recorded with a decrease of 11 %. Appl lost 9 %.

Read more about the amazing seven stock movements today and market actions.

Only Meta (Meta) managed to outperform the S&P 500 in most of the first quarter. But after jumping by 26 % between January and February, its share ended 6 %.

There are company factors in playing to sell the wonderful seven as well.

The CEO of Tesla Elusk was criticized for his work with the Trump administration. Sales fell on the world’s cliff, prompting Wall Street to get more cautious about the company’s 2025 prospects.

NVIDIA failed to persuade Super Bulls at the annual GTC event that he watched closely in March. The estimates of analysts have remained for the first quarter and the year without a relatively change since the event, according to Yahoo’s financing data.

Trump’s tariff fears were affected by Apple shares, as the company makes the largest part of its products in China.

When Microsoft and Amazon reported the profits of the fourth quarter in February, each of whom served investors who slow down the cloud growth stories. The margins of profit in light came in exchange for some analysts.

To restore the wonderful seven trade, True Lerner says the market will need to see some of the things that happen.

“I think it may take only some time as the profits continue to rise, and today, while the prices are unified, and investors realize that they are [the stocks] Lerner explained that it was cheap again on a relative basis for growth prospects.

If the demand for artificial intelligence slows down, investors hear spending discounts will help reduce margin fears.