Investors could do worse than investing in the so-called “Magnificent Seven” stocks. The collective gained 111%, on average, in 2023, thrashing the 24% gains of the S&P 500. The group has continued its winning ways, rising 22% on average so far this year, nearly double the 11% increase of the S&P 500 (as of this writing).
The common thread that unites these tech bellwethers is that they each have artificial intelligence (AI) in their DNA. In recent months, however, some investors have begun to fear that the rally that propelled the Magnificent Seven higher is no longer sustainable and have been looking to other quarters for growth.
Among those investors is billionaire David Tepper, who heads Appaloosa Management, the hedge fund he founded in 1993. Tepper is worth roughly $20.6 billion and has been called “arguably the greatest hedge fund manager of his generation,” for his knack for consistently outperforming his industry peers.
It’s notable, then, that Tepper decreased his exposure…
2024-05-19 02:05:00
Original from finance.yahoo.com
