Apple vs. Meta Platforms: Which "Magnificent Seven" Stock Has More Upside After the Recent Sell-Off?

Core Viewpoint - The ongoing tariff situation has negatively impacted stock performance, including major tech companies, with the Roundhill Magnificent Seven ETF down nearly 18% this year, prompting investors to seek cheaper stocks [1] Group 1: Apple Inc. - Apple is significantly affected by tariffs, with over 80% of its products manufactured in China, and could see iPhone prices rise to $3,500 if production shifts to the U.S. [3] - The current tariff rate on China has been increased to 145%, but there are indications from the White House of a potential trade deal, with temporary exemptions for electronics [4][6] - Analysts predict a 10% decline in Apple's earnings for 2025 and 2026, with a worst-case scenario of a 15% to 20% drop if no trade deal is reached, yet the long-term outlook remains bullish with a price target of approximately $238, indicating an 18% upside [5][6] Group 2: Meta Platforms - Meta is less affected by supply chain issues compared to Apple, as it does not produce tangible goods, but could still face challenges from an economic slowdown due to tariffs impacting advertising budgets [7] - Despite potential recession impacts, Meta is viewed as a resilient advertising platform, with 42 out of 46 analysts rating it a buy and an average price target of around $726, suggesting a 39% upside [8] - Meta is recognized as a significant beneficiary of AI advancements, enhancing its advertising effectiveness and revenue per user, trading at about 20.8 times forward earnings, close to its five-year average [9][10]