The Magnificent Seven group of US tech giants has stalled this year, putting Wall Street’s year-end S&P 500 targets at risk. The Bloomberg Magnificent 7 Price Return Index, which includes Nvidia, Alphabet, and Amazon, has gained just 0.5% in 2026, while the broader S&P 500 has risen 9.3% and the Philadelphia Semiconductor Index has surged 78%. With the Magnificent Seven making up roughly a third of the S&P 500, strategists’ average year-end target of 7,824.09 points would require the remaining 493 stocks to rally an additional 6.8% on top of their 13% year-to-date gain if the tech giants continue to lag. Some analysts, including those at Morgan Stanley and Goldman Sachs, see the underperformance as overdone and are now recommending a return to the group, noting that its price-to-earnings multiple has fallen to 23.9 from 32.6 in late October. Others argue the S&P 500 could still reach its target without the Magnificent Seven, though the lower-weighted stocks would need outsized returns.
Goldman Sachs Group Inc
Morgan Stanley
Dollar Tree Inc
Hubbell Inc
JPMorgan Chase & Co
