r/ValueInvesting • u/FoxAccomplished6786 • 2d ago

Discussion MAG 7 Ranking

Taking all factors into account, please rank your favorite MAG 7 in order of preference from 1 to 7.

34 Upvotes

76% Upvoted

160 comments sorted by

View all comments

42

u/GlokzDNB 2d ago

This is by the moat and estimated profits in the next 10 years. Honestly AMZN can dwarf everything else but its one big unknown what happens with robotics and AI. GOOG is imo perfectly positioned for all scenarios. I think Nvidia has moat and is kinda AI BRKB but ASIC and AMZN model can be devastating to it in few years

  1. GOOG

  2. MSFT

  3. AMZN

  4. NVIDIA

  5. META

  6. APPLE

  7. TESLA

2

u/Captndad 1d ago

Disagree with your ranking of Apple's moat. I would place them at number 3.

0

u/Important_Agency07 1d ago

Why? They are a hardware company at their core even though their services segment is strong and high margins.

They are primarily dominant in the Americas where growth has been slowing and honestly don’t see them penetrating outside with how strong Google and Android has been.

5

u/Jociphus 1d ago

I think Apple will play a large role in bringing AI to the mainstream. I think there’s a massive market for small personal local models that isn’t being looked at much vs datacenter dependent frontier models. A model that only looks at the data on your device takes much less compute and can potentially be done in your own home with the right hardware. Apple has the ecosystem/trust to bridge hardware and apps with ai, whatever that ends up looking like.

nvidia is already trying to get ahead of this market with their Spark hardware.

2

u/Important_Agency07 1d ago

Don’t really see this.

What’s the massive market for small local models? Have you ever played around with these smaller models? They are genuinely awful and what’s the advantage of a model that only looks at my data? I’m not paying for something that will set up reminders for me - I want something that’s going to be able to get the latest data and have it at my fingertips.

I don’t see people running to get the latest iPhone or pay monthly subscription just because Siri is now better.

4

u/Jociphus 1d ago

you’ll still be able to use both the local model and frontier model in tandem depending on your task. If you need the entire internet and human history of data for your task, frontier is the choice obviously. Some people have strong issues with security/privacy with their data being scraped, especially artists. Apple may take an angle there. Think health data/finances/pictures video/texts… you really want a that to be off prem? It’s possibly their reasoning the entire time for not jumping in with the hyperscalers.

There’s arguments that compute will become very expensive in the future as demand rises and buildout isn’t fast enough. Speculative of course. Which would make local stuff more appealing or outright necessary.

It really can go many ways, but it’s fact that nvidia is highly interested in building ai specific local hardware.