The Magnificent 7 is back.
After rallying hard for years, Mag 7 stocks pulled back significantly in early 2025 as investors rotated out of risk-on investments (like the high-priced Mag 7) and into risk-off investments, like value stocks. But the group has staged a comeback in the last few weeks: On average, the Mag 7 has returned 31% between April 8 when the market hit its 2025 low and June 6. Meanwhile, the Morningstar US Market Index, which represents the broad market, was up XX% during that same time.
What Are the Magnificent 7 Stocks?
The Magnificent 7 are a group of leading U.S. technology and tech-related companies with sizable market capitalizations that have driven a significant portion of the stock market’s performance during the past 10 years.
The Mag 7 stocks are:
These companies share several qualities. They’re all known for their innovation. They’re financially stable. And they have a global reach. As a result, the Magnificent 7 are considered to be good stocks to own for investors who want exposure to long-term growth themes—including artificial intelligence.
During the past few years in particular, the Magnificent 7 has become synonymous with artificial intelligence; however, some Mag 7 companies have more exposure to the AI theme than others.
These Mag 7 Stocks are the Best AI Investments Today
Which of the Magnificent 7 provide investors with the most exposure to the AI theme?
To answer that question, we turn to Morningstar’s analysts, who score companies on a scale of 0 – 4 based across several different themes—and artificial intelligence and machine learning is one of those themes. When scoring companies, analysts consider three things:
- What percentage of companywide revenue that they expect will be linked to a particular theme five years into the future.
- Whether the company’s exposure to a theme drives a net profit increase over the next five years (rather than simply cannibalizing existing profits).
- What role the company plays in the supply chain for the thematic good/service in question? “Producers” can earn a higher score than “suppliers” and “downstream users” aren’t eligible.
Here’s how Morningstar’s analysts have scored how exposed each company in the Magnificent 7 is to the theme of artificial intelligence and machine learning:
Alphabet, Microsoft and Nvidia are the companies in the Mag 7 with the most exposure to the AI theme. Apple and Tesla, meanwhile, have the least exposure to the theme.
For those investors who are looking to buy one of the stocks in the Magnificent 7 today for AI exposure, Alphabet is the stock to buy. Not only does the company provide good AI exposure; but Alphabet’s stock is trading at 4-star levels, which means the stock is undervalued according to Morningstar.
