Mag 7 Stocks for AI Investing

The ‘Magnificent Seven’ companies are now closely associated with artificial intelligence, though some are more involved in AI investing than others.

Magnificent Seven stocks are making a comeback. After a strong rally, these stocks declined in early 2025 as investors shifted from risk-on to risk-off investments like value stocks. However, the group has recovered in recent weeks. As of June 10, the Mag Seven stocks have collectively returned 33% since the market low in early April 2025. In comparison, the Morningstar US Market Index, which represents the broad market, increased by 22% during the same period.

The Magnificent Seven are leading US technology and tech-related companies with significant market capitalizations, driving much of the stock market's performance over the last decade.

These companies are known for their innovation, financial stability, and global reach, making them attractive for long-term growth trends like artificial intelligence investing. The Magnificent Seven has become synonymous with AI in recent years, but some companies have greater exposure to AI investing.

Which of the Magnificent Seven provides the most exposure to AI investing? Morningstar’s analysts score companies from 0 to 4 on various investing themes, including AI and machine learning. The analysts consider several factors when scoring companies.

Morningstar’s analysts' scores for AI and machine learning theme:
Alphabet, Microsoft, and Nvidia have the most exposure to the AI investing theme, while Apple and Tesla have the least.

For investors seeking AI investing exposure, Alphabet is the preferred stock within the Magnificent Seven. It offers good exposure to the theme and is currently trading at a 4-star level, indicating undervaluation according to Morningstar.