Are the Magnificent 7 Stocks Still Worth Buying in December 2025?

The Magnificent 7 in 2025

The "Magnificent 7" - Apple, Microsoft, Google, Amazon, Meta, NVIDIA, and Tesla - have dominated market returns. But after massive runs, are they still worth buying?

Let's analyze each one.

Apple (AAPL)

Current State: Trading near all-time highs with a $3.8T market cap.

Bull Case:

Services revenue growing 15%+ annually

Vision Pro creating new revenue streams

Massive installed base of 2B+ devices

Strongest brand loyalty in tech

Bear Case:

iPhone growth slowing

China exposure and competition

Trading at 30+ P/E vs. historical 20-25

Verdict: HOLD - Fully valued but high quality

Microsoft (MSFT)

Current State: AI integration across all products driving growth.

Bull Case:

Azure growing 25%+, gaining cloud share

Copilot AI driving Office 365 upgrades

GitHub and LinkedIn moats

Enterprise relationships are sticky

Bear Case:

Cloud growth decelerating

AI monetization still early

Antitrust concerns

Verdict: BUY - Best-positioned for enterprise AI

Alphabet/Google (GOOGL)

Current State: Search dominance intact but AI concerns linger.

Bull Case:

Search still growing despite AI fears

YouTube dominant in video advertising

Waymo leading autonomous vehicles

Cloud growing 30%+

Bear Case:

ChatGPT threat to Search

Antitrust ruling could force changes

Ad market cyclicality

Verdict: BUY - Undervalued relative to peers

Amazon (AMZN)

Current State: AWS and advertising driving profits.

Bull Case:

AWS margins expanding

Advertising now $50B+ business

Retail logistics moat widening

Healthcare and Kuiper optionality

Bear Case:

Retail profitability still weak

Heavy capex requirements

Labor cost pressures

Verdict: BUY - Multiple growth engines

Meta (META)

Current State: Remarkable comeback, AI driving engagement.

Bull Case:

AI improving ad targeting and engagement

Reels competitive with TikTok

WhatsApp monetization opportunity

Trading at reasonable 22 P/E

Bear Case:

Reality Labs losing $15B/year

Regulatory risks

Young user decline on Facebook

Verdict: BUY - Best value in Mag 7

NVIDIA (NVDA)

Current State: AI chip monopoly but priced for perfection.

Bull Case:

Data center demand exceeding supply

Blackwell architecture launching

Software and services revenue growing

80%+ gross margins

Bear Case:

Valuation requires flawless execution

Customer concentration risk

AMD/custom chip competition

China revenue restrictions

Verdict: HOLD - Great company, full valuation

Tesla (TSLA)

Current State: Most controversial of the group.

Bull Case:

FSD improvements accelerating

Energy storage growing rapidly

Robotics optionality (Optimus)

Cost leadership in EVs

Bear Case:

Auto margins compressing

EV competition intensifying

Valuation assumes FSD success

CEO distraction risks

Verdict: SPECULATIVE - High risk/reward

Summary Table

StockVerdictKey Factor

AAPLHOLDFully valued quality MSFTBUYEnterprise AI leader GOOGLBUYUndervalued AMZNBUYMultiple engines METABUYBest value NVDAHOLDPriced for perfection TSLASPECULATIVEFSD dependent

The Bottom Line

Not all Magnificent 7 stocks are created equal. Microsoft, Google, Amazon, and Meta offer the best risk/reward at current prices. Apple and NVIDIA are great companies trading at full valuations. Tesla requires conviction in autonomous driving.

Use Deepin to analyze these stocks in depth and make your own informed decision.