The Magnificent 7 is dead! Long live the BATMMAAN stocks
American has another $1 trillion stock: Broadcom.
Broadcom shares have soared in both of the last 2 trading sessions, adding more than $300 billion to the semiconductor company’s market cap, after it reported that its AI revenue had jumped 220% in the past year, pushing Broadcom’s valuation through the $1 trillion milestone to join the members of the “Magnificent 7” in the exclusive club.
Though not a household name in the same way as Apple, Tesla, and Microsoft, Broadcom has quickly become a favorite of investors as it benefits from booming demand for generative-AI infrastructure.
The news means that the Magnificent 7 moniker might be a little outdated — we’d suggest that the “BATMMAAN” stocks might be a better acronym for the behemoths that now account for nearly $19 trillion worth of collective market value, dominating America’s stock market.
While most of the companies on this list are wildly different in their core competencies — Amazon’s e-commerce efforts are a world away from Broadcom’s chipmaking business — each has been swept along by the demand for AI in various ways. For example, Meta, Alphabet, Apple, Microsoft, and Tesla have each espoused the benefits of AI in their social-media platforms, search engines, smartphones, software, and vehicles. Amazon, Nvidia, and Broadcom, meanwhile, have focused on the physical hardware behind much of the AI boom — think servers, data centers, and chips.
