Is The Cheapest Magnificent Seven Stock a Buy for 2026?

Group 1 - "The Magnificent Seven" refers to a group of tech stocks that have consistently impressed investors, particularly in the area of artificial intelligence (AI) [1][2] - These stocks have significantly contributed to the S&P 500's performance in recent years, indicating ongoing positive momentum [2] - Despite their gains, some of these companies, particularly Meta Platforms, are trading at reasonable valuations, with Meta being highlighted as the cheapest among them [3][5] Group 2 - Meta Platforms is currently trading at 20 times forward earnings estimates, which is lower than its peers in the Magnificent Seven [5] - The company has a strong presence in social media, with approximately 3.5 billion daily users across its platforms, generating substantial advertising revenue [6] - Meta's financial strength has allowed it to invest in growth initiatives, including the launch of a dividend in 2024 [7] Group 3 - Meta has recognized the potential of AI for growth and has increased its investment in this area, including building data centers and developing a large language model [10] - The establishment of Meta Superintelligence Labs, led by a notable talent from Scale AI, underscores the company's commitment to advancing its AI capabilities [10]