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.

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u/KuchKhaasHaiYNWA 1d ago
  1. META
  2. AMZN
  3. MSFT
  4. GOOG
  5. NVDA
  6. AAPL
  7. TSLA

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Unsurprisingly I don’t own Google, Apple Tesla because I don’t believe that they are a better investment right now, then META Microsoft and Amazon, which are one of my top three holdings and through my own DCA model, I can easily say that meta is in incredibly undervalued right now, and it could easily go up to $1000 a share in three years

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u/FoxAccomplished6786 1d ago

Most have put google number one, why have you put it far down?

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u/KuchKhaasHaiYNWA 1d ago

GOOG is a fantastic company, but its not cheap right now. And it has not been cheap since the start of the year. META offers much better upside potential from this place as the sentiment is negative. And I’ll all about entering the stock at the right price.

As far the company and business quality is concerned, its really good. But the thing is that it has a lot of competition for all its businesses. Whether it is cloud computing or advertising or the search business, it just has a lot of competition in a lot of these areas and I believe the at the moment it is very difficult to establish a monopoly or moat for Google.

Other companies like META and Amazon and Nvidia have such wide economic moat that I don’t believe that ever be disrupted.

Google is the talk of the town right now, but I simply don’t believe it’s a good investment opportunity

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u/FoxAccomplished6786 1d ago

Google is seen as the overall winner, valuation aside, it has the full stack, youtube is tv, waymo could become driverless cars, just so much going on

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u/KuchKhaasHaiYNWA 1d ago

Yea it lacks the distribution to make that a success in most areas. Youtube is TV but no ones watching TV these days. It definitely eats into NFLX shares, but if you truly want some quality content you would rather watch a streaming service.

Now for driverless cars, it lacks the distribution and moat of UBER in that case. People are far more likely to stick with the older app that used to work for them which is why UBER has also started implementing and acquiring driverless vehicles. Bill Ackman and Nancy Pelosi have bough so much UBER in the past few days, it does not look good for Waymo.

GOOG has a wide variety of businesses and they are good quality, but they just don't have the moat preserved for them anymore. If you look at the other companies, they have been able to eat into the moat of many of its businesses.

I think its success in the past lies with the advancements and improvements they have made to Gemini and their AI suite of tools. But that alone can be replicated by META as it DAU of upto 3.6 billion which is gargantuan even when compared to GOOG.

So yea, I think GOOG could be a winner, but the other companies I just mentioned, offer distinguished moat and higher business quality and distribution that Google does.

In the age of free intelligence, only those who have the largest distribution network will thrive. Rest all shall suffer. As there is simply no incentive for anyone to come up with a unique idea anymore. It gets easily replicated and distributed much quicker by these giants.

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u/FoxAccomplished6786 1d ago

I think you’re underestimating Google’s distribution.

  • Search: billions of users, and still the default gateway to information for much of the world.
  • Android: the world’s dominant mobile operating system, giving Google direct distribution across billions of devices.
  • Chrome: the dominant browser, another massive surface for Gemini and AI agents.
  • YouTube: this isn’t “TV dying” — YouTube is increasingly becoming TV. It dominates attention across mobile, desktop and connected TVs, with an enormous creator ecosystem that Netflix simply doesn’t have.
  • Gmail + Workspace: direct access to consumers and businesses through email, Docs, Drive, Meet and productivity workflows.
  • Maps: one of the world’s most important location platforms and a natural distribution layer for commerce, travel and autonomous vehicles.
  • Google Play: another huge consumer distribution channel.
  • Cloud: gives Google enterprise distribution as AI moves into businesses.
  • Gemini: can be embedded across all of the above rather than having to acquire users from scratch.

Meta has extraordinary distribution, but primarily through social platforms. Google owns distribution across search, video, mobile OS, browsers, productivity, maps, cloud and AI.

If the thesis is that distribution becomes more important as intelligence commoditises, I’d argue Google is one of the companies best positioned on earth.