- English (UK)
Overview
While still often thought of as a homogenous group, largely a hangover from the way in which the stocks powered the broader market higher a few years ago, the performance of the ‘Mag 7’ has become considerably more dispersed in recent times. Said dispersion has remained on display since the start of this year, not only as participants digest differing company performances, but also amid elevated uncertainty stemming from conflict in the Middle East.
Added to which, concerns over the AI theme persist, not only in terms of the huge amounts of capital expenditure that hyperscalers have guided towards, but also as to how said expenditure will be financed, as well as both how, and when, it is likely to be monetised. Commentary on this is likely to be a key focus for market participants as we move through the upcoming reports which, given the huge weighting that these stocks continue to possess in benchmark indices, will be pivotal not only for the sector, but also the market at large.
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Tesla (TSLA, 22nd April, 4:05pm ET/9:05pm BST)
Tesla have been one of the worst performers in the Mag 7 this year, with the stock coming under pressure as the company continues to deal with a hangover from last year’s expiration of EV tax credits having pulled forward demand, while also increasingly pivoting away from being an auto manufacturer, and towards a robotics & AI-centred firm.
Regardless, Q1 26 delivery numbers were soft, having fallen 14% QoQ, which in turn poses some degree of downside risk to consensus expectations for the upcoming earnings report, where EPS is seen at $0.38, on revenues of $22.7bln. Options on TSLA stock imply a move of +/-4.5% in the day following the upcoming print, with the stock having fallen following two of the last three reports.
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Meta (META, 29th April, 4pm ET/9pm BST)
AI will also be in focus when it comes to Meta’s quarterly report, particularly with AI-related improvements to advertising having been one of the main drivers of the firm’s strong revenue growth in recent quarters. Participants will also remain attentive to Meta’s guidance regarding capex, which seems unlikely to slow any time soon, while any commentary regarding the various ongoing social media litigation cases will also be watched closely.
In terms of earnings estimates, consensus points to EPS of $6.67, on revenues of $55.4bln, with ad revenue set to make up just over $54bln of that figure. Options imply a move of +/- 6.3% in Meta stock following the upcoming report, with the stock having ended the post-earnings session in the green following four of the last five prints.
Alphabet (GOOG/L, 29th April, 4pm ET/9pm BST)
Alphabet has been the second best performer in the ‘Mag 7’ since the turn of the year, with the stock heading into earnings season trading just shy of the record highs around $350 that were set at the start of February. Cloud revenues remain the standout performer here, though search trends have also been constructive in recent quarters, which should continue into Q1. Close attention will also be paid to the speed and scale of AI Mode adoption in the search arena, in addition to capex commentary, after guiding towards a huge $185bln of expenditure in the current FY, roughly double that seen last year.
At an index level, combining both share classes gives GOOG/L a weight of around 6% in the S&P, and of around 11% in the Nasdaq 100, which would leave the combined entity as the second largest constituent of the latter. Expectations for the upcoming print are relatively lofty, with the street foreseeing EPS at $2.62, on revenue just shy of $107bln. Despite a solid Q4 25 report, the stocks lipped in the aftermath of the results, though that did represent the first time in four reports that GOOG/L had experienced an after-hours decline post-earnings. Derivatives, this time around, price a move of +/-4.8% following the report.
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Amazon (AMZN, 29th April, 4pm ET/9pm BST)
Amazon increasingly appear to be moving from an AI laggard, to an AI leader, with the market having rewarded such a transformation, leading to the stock sitting around 8% higher YTD, to trade within inches of the $258 record highs set in November last year. This AI-related shift comes as growth in the AWS unit accelerates further, at a time when consumer demand also remains robust despite ongoing geopolitical uncertainty. Focus is also likely to fall on any commentary surrounding ‘Project Leo’, especially in light of the recent acquisition of Globalstar.
In terms of expectations, for the upcoming report, consensus expects EPS at $1.61, on revenues just over $177bln, with the all-important AWS unit set to deliver around $37bln of that figure. Amazon options imply a +/-6.2% move in the post-earnings session, though the stock has fallen following four of the last five quarterly reports, with there potentially being another high bar to after-hours gains this time around, with the stock essentially trading at an all-time high.
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Microsoft (MSFT, 29th April, 4:05pm ET/9:05pm BST)
MSFT has endured a troubled start to 2026, with market participants seemingly growing increasingly concerned as to the relentless pace of capital expenditure, as well as the degree of concentration risk present with regards to the firm’s AI activities, owing to the massive exposure that Microsoft has to OpenAI. Still, in spite of these recent declines, MSFT remains an index heavyweight, being the 3rd largest stock in the S&P 500, Nasdaq 100, and the Dow.
For the upcoming report, consensus expects EPS at $4.04, on revenues just north of $81bln, which would represent a 14% YoY increase on a constant currency basis. Participants, though, are more likely to focus on guidance issued for the coming quarter, as well as cloud/azure revenues to gauge AI-related performance, instead of the headline metrics. MSFT options price a move of +/-6.0% in the day following the earnings release, to 1 standard deviation of confidence, with the stock having notched back-to-back losses following the last two updates.
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Apple (AAPL, 30th April, 4:30pm ET/9:30pm BST)
Apple trades essentially unchanged this year, despite indications of strong demand for the iPhone 17 range, and a surge in China sales. Headwinds, hence, stem largely from concerns as to potential near-term hurdles for the firm, particularly regarding potential margin erosion as a result of considerably higher memory costs, even if this is unlikely to be a long-run issue, given Apple’s almost-unique ability within the tech sector to be able to raise costs without significantly impairing consumer demand.
In any case, Apple remains the 2nd largest stock by weight in both the S&P 500 and the Nasdaq 100, while also being a Dow constituent. For the upcoming report, options tied to the stock imply a move of +/-3.6%, with the January figures being the first time that AAPL had experienced a post-earnings rally since all the way back in Q3 24. This time around, expectations point to EPS at $1.95, on revenues of $109.5bln.
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Nvidia (NVDA, 20th May, 4:20pm ET/9:20pm BST)
The largest company in the world are also the last of the ‘Mag 7’ to provide their quarterly update and, while not reporting for another month or so, trade around 6.5% higher at the time of writing, albeit still well within the broad $170 - $210 range that has now been in place since last summer. Of course, Nvidia is likely to be one of the biggest beneficiaries from the seemingly-endless increases in capex from hyperscalers across the sector, which should underpin the company’s earnings for the foreseeable.
For the upcoming fiscal Q1 27 report, consensus expects Adj. EPS of $1.76, on revenues of $78.5bln, with data centre operations set to account for over 80% of that total. Margins will also be in focus, with gross margins set to remain north of 75%. NVDA options price a +/-5.8% move over the upcoming report which, all else equal, would equate to around +/- 0.4% in the S&P 500 and +/- 0.8% in the Nasdaq 100.
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