MMSFT
    GGOOGL
    MMETA
    AAMZN
    AAAPL
    NNVDA
    TTSLA
    Magnificent Sevenlong-term-investing

    My Five-Year MAG7 Ranking After Last Week's Earnings

    My Five-Year MAG7 Ranking After Last Week's Earnings
    • Microsoft ranked #1, Q3 revenue $82.9B (+18%), operating income $38.4B, Cloud $54.5B (+29%), AI run-rate $37B (+123%), 2026 capex ~$190B, stock $414.40, Vulcan flags ~32.6% discount to fair value
    • Alphabet ranked #2, Q1 revenue $109.9B (+22%), operating income $39.7B, EPS $5.11, Cloud $20B (+63%) with ~$462B backlog, 2026 capex $180-190B, stock near 52-week high, ~14% discount, antitrust overhang persists
    • Meta ranked #3, Q1 revenue $56.31B (+33%), operating income $22.87B, ad impressions +19% and price +12%, OCF $32.23B, FCF $12.39B after $19.84B capex, 2026 capex guide $125-145B, funded with $25B bond sale
    • Amazon ranked #4, high-quality franchise but still pulling owner cash forward via heavy reinvestment, business merits long-term hold but expect deferred owner returns and limited appeal for fresh capital today
    • Apple ranked #5, posted a strong report and popped, but valuation makes fresh-money allocation difficult for a five-year buy-and-hold, prefer to wait for a better entry rather than add at current levels
    Glenn Ford
    May 4, 20261:43 PM3900

    Five Magnificent Seven names just reported earnings last week. The price reactions were all over the map. Here's how I rank them as five-year holds, with Buffett's owner-return rules doing the heavy lifting.

    Why I'm Reading This Earnings Week Differently

    Five Magnificent Seven names reported earnings inside seven trading days. (MSFT), (GOOGL), (META), and (AMZN) reported on April 29. (AAPL) capped the week on April 30. The combined market cap reaction was all over the map: Alphabet ripped to a fresh high, Meta got punished, Microsoft drifted, Amazon held its ground, and Apple popped on a strong report.

    That kind of noise is exactly when I find Warren Buffett useful. Buffett's owner manual at Berkshire Hathaway has always argued that quotes are a service, not a verdict. He's said it a hundred ways. "Our favorite holding period is forever," he wrote in his 1988 shareholder letter. "It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price," he added the next year.

    Keep Reading

    Create a free account to access more content.

    Sign InCreate Free Account

    Sign in to leave a comment and join the discussion.

    Sign Up Free