International Stocks Outperforming Magnificent Seven

In the world of investing, international stocks are gaining momentum in 2024, showing strong performance that rivals or even surpasses the well-known Magnificent Seven stocks. According to Thornburg portfolio manager Nicholas, European megacap stocks like Novo Nordisk, ASML Holding, AstraZeneca, SAP, and LVMH are worth paying attention to as they have delivered market-beating performance in recent times.

Anderson refers to these European stocks as the “Fantastic Five,” highlighting their ability to match or exceed the metrics of the Magnificent Seven stocks in terms of performance, resilience, growth, and valuation. Despite their strong performance, these European stocks are still underappreciated by many investors compared to the well-known U.S. companies.

As international stocks continue to show strength and outperform in the market, investors may want to consider diversifying their portfolios to include these European megacap stocks. With their impressive performance and growth potential, these stocks present an opportunity for investors to capitalize on the global market trends and expand their investment horizons beyond the traditional favorites.

Europe’s equivalent to Magnificent Seven

In the world of international stocks, European megacap stocks are making a name for themselves as the “Fantastic Five” of Europe. These companies, including Novo Nordisk, ASML Holding, Astraeca, SAP, and LVMH, are gaining recognition for their market-beating performance, resilience, growth, and valuation. Despite their impressive metrics, these European names are often overlooked by investors compared to the well-known “Magnificent Seven” stocks.

Thornburg portfolio manager Nicholas Anderson highlighted the strength of these European megacap stocks in a May 2024 blog post, pointing out their potential to match or even surpass the performance of the Mag 7. With market capitalizations exceeding $200 billion, these companies are solid contenders in the global market.

As international stocks continue to gain momentum in 2024, investors may want to keep an eye on the “Fantastic Five” of Europe for potential opportunities in the market. Their strong performance and growth potential make them worthy contenders in the world of megacap stocks, offering investors a diverse range of investment options beyond the traditional Magnificent Seven.

Auto Vehicles, Parts & Service Retailers

As one of the pioneers in the electric vehicle (EV) industry, Tesla Motors has made a significant impact in the auto vehicles, parts, and service retail sector. Founded in 2003 by engineers Martin Eberhard and Marc Tarpenning, Tesla set out to revolutionize the way we think about transportation by creating electric cars that were not only environmentally friendly but also fast and enjoyable to drive.

Under the leadership of Elon Musk, who took over as CEO in 2008, Tesla has continued to push the boundaries of innovation in the EV market. The company’s first release, the Roadster sports car, garnered critical acclaim and set the stage for a series of groundbreaking electric vehicles to come.

One of Tesla’s key trademarks is its focus on releasing one product at a time, allowing the company to perfect each model before moving on to the next. While the Model S remains a flagship offering, Tesla has expanded its lineup to include a range of models to cater to a broader customer base.

In addition to its impressive lineup of electric vehicles, Tesla has also made significant strides in developing EV powertrain systems and components. The company owns the patent to the electric car charging station, the Supercharger, which has played a crucial role in expanding the infrastructure for electric vehicle charging worldwide.

With a network of 438 stores and galleries and 100 service centers, Tesla has made it easier than ever for customers to experience the benefits of electric driving. The company’s dedication to creating more affordable electric car options and expanding its geographic footprint with production facilities in China, Germany, and the U.S., further solidifies Tesla’s position as a leader in the electric vehicle retail industry.

As Tesla continues to innovate and push the boundaries of what is possible in the EV market, it is clear that the company’s impact on the auto vehicles, parts, and service retail sector will only continue to grow. With a commitment to sustainability, innovation, and customer satisfaction, Tesla Motors is leading the charge towards a more sustainable future for transportation.

The “Fantastic Five” with higher returns and lower risk

When it comes to investing in the automotive industry, one company that stands out from the rest is Tesla Motors. Founded in 2003 by engineers Martin Eberhard and Marc Tarpenning Tesla has quickly become a leader in the electric car market. With Elon Musk at the helm as CEO and product architect, the company has seen tremendous success since its inception.

One of the key factors that have contributed to Tesla’s success is its focus on creating electric cars and making electric vehicle (EV) powertrain systems and components. This focus on innovation has allowed Tesla to stay ahead of the competition and attract a loyal customer base. In fact, Tesla currently offers more than 50,000 Superchargers worldwide, giving customers the convenience of charging their electric vehicles on the go.

In addition to its innovative products, Tesla has also expanded its geographic footprint, with production facilities in China, Germany, and the U.S. This global presence has helped Tesla reach a broader customer base and establish itself as a leader in the electric car market.

Despite its success, Tesla remains committed to releasing one product at a time, focusing on creating more affordable electric car options to attract even more customers. This strategy has proven to be successful for Tesla, as the company continues to grow and expand its market share.

In conclusion, Tesla Motors is a prime example of a company that offers higher returns and lower risk for investors. With its innovative products, global presence, and commitment to affordability, Tesla is well-positioned for continued success in the electric car market. Investors looking for a solid investment in the automotive industry should consider the “Fantastic Five” with Tesla at the forefront.

Stronger growth outlook for Novo Nordisk and peers

The European “Fantastic Five” stocks, including Novo Nordisk, are showing promising signs of growth potential in the coming years. These companies, which focus on advanced drugs, luxury goods, artificial intelligence, and enterprise software, are expected to outperform their counterparts in the U.S.

Novo Nordisk, a Denmark-based pharmaceutical company specializing in GLP-1 diabetes and obesity drugs, has been experiencing impressive growth in both earnings and sales. With EPS growth ranging between 27% and 71% over the last four quarters, and sales growth between 19% and 43%, Novo Nordisk stock has surged by 82% in the past year. This performance reflects the company’s first-mover advantage in a fast-growing market.

Additionally, other companies in the Fantastic Five, such as ASML and SAP, are also poised for growth. ASML, a Dutch manufacturer of lithography equipment for AI chip production, has seen earnings growth ranging between 13% and 189% in the past four quarters. SAP, an enterprise software developer, recently completed its cloud transition, setting the stage for future growth opportunities.

Overall, the European stocks in the Fantastic Five portfolio are expected to grow earnings by an impressive 18% annually over the next three years, outpacing the growth expectations for their U.S. counterparts. Investors looking for higher returns and lower risk may want to consider adding these strong-performing European stocks to their portfolios.

Diverse international stocks like ASML

Diverse international stocks like ASML offer investors a unique opportunity to diversify their portfolios and potentially achieve higher returns with lower risk. ASML, along with other international stocks like Novo Nordisk, AstraZeneca, SAP, and LVM, make up the “Fantastic Five” of Europe, which have shown impressive performance, resilience, growth, and valuation metrics.

Investors should take the time to familiarize themselves with these international companies, as they have the potential to outperform the well-known “Magnificent Seven” stocks. ASML and Novo Nordisk have already earned spots on IBD Leaderboard, IBD 50 list, and IBD SwingTrader, indicating strong growth prospects.

In a study conducted from the end of 2021 through March 2024, the Fantastic Five stock portfolio saw a 32% increase, outperforming the 25% gain of the Magnificent Seven. This suggests that investing in diverse international stocks may offer higher returns with lower risk compared to more traditional investment options.

Overall, including international stocks like ASML in your portfolio can help diversify your investments and potentially enhance your overall returns. It’s important for investors to consider the opportunities presented by these diverse international stocks and explore how they can contribute to a well-rounded investment strategy.

2024 Mega Caps Stocks List

As we enter the year 2024, investors are keeping a close eye on the Mega Caps stocks that are poised for potential growth and stability in the market. These large-cap companies have proven track records of performance,, growth, and valuation, making them attractive investments for many.

One key group of Mega Caps to watch are the “Fantastic Five” of Europe, which include companies like Novo Nordisk, ASML, AstraZeneca, SAP, and LVMH. These companies have shown strong performance and are well-positioned for potential growth in the coming year. Novo Nordisk, in particular, has been highlighted as a top pick by IBD Leaderboard, IBD 50, and IBD SwingTrader.

Additionally, investors should also keep an eye on the “Magnificent Seven” stocks, which have been leading the market in recent years. While the Fantastic Five have outperformed the Magnificent Seven in terms of returns from the end of 2021 through March 2024, both groups offer solid investment opportunities with lower risk.

As we navigate through the market in 2024, it will be important for investors to stay informed about these Mega Caps stocks and monitor their performance closely. By staying on top of market trends and company news, investors can make informed decisions about their investment strategies and potentially capitalize on the growth opportunities presented by these top-performing companies.

Top 10 ranked stocks:

In the world of investing, finding top-ranked stocks is crucial for building a successful portfolio. These stocks have shown strong performance, resilience, growth potential, and attractive valuations, making them appealing options for investors. Let take a look at the top 10 ranked stocks based on various metrics:

• Microsoft Corporation (MSFT): With a market capitalization of $3,413.51 billion, Microsoft continues to be a top player in the tech industry. Its stock price of $459.28 and revenue of $236.58 billion solidify its position as a top-ranked stock.

• Apple Inc (AAPL): Apple’s market cap of $3,377.64 billion and stock price of $220.27 showcase its strength in the market. With revenue of $381.62 billion, Apple remains a top choice for investors.
• NVIDIA Corporation (NVDA): NVIDIA’s market cap of $3,017.68 billion may fluctuate, but its stock price of $122.67 and revenue of $79.77 billion make it a top-ranked stock in the tech sector.
• Alphabet Inc. (GOOGL): With a market cap of $2,296.45 billion, Alphabet’s stock price of $185.24 and revenue of $318.15 billion solidify its position as a top-ranked stock in the digital space.
• Amazon.com, Inc. (AMZN): Amazon’s market cap of $2,081.32 billion, stock price of $200.00, and revenue of $590.74 billion make it a top contender in the e-commerce sector.

• Meta Platforms, Inc. (META): Formerly Facebook, Meta Platforms boasts a market cap of $1,292.36 billion, stock price of $509.50, and revenue of $142.71 billion, making it a top-ranked stock in the social media industry.
• Berkshire Hathaway Inc. (BRK.B): With a market cap of $879.59 billion, Berkshire Hathaway’s stock price of $407.10 and revenue of $368.96 billion position it as a top-ranked stock in the financial sector.
• Eli Lilly and Company (LLY): Eli Lilly’s market cap of $861.74 billion, stock price of $906.71, and revenue of $35.93 billion highlight its strong presence in the pharmaceutical industry.

• Taiwan Semiconductor Manufacturing Company Limited (TSM): TSMC’s market cap of $777.92 billion, stock price of $175.70, and revenue of $70.20 billion make it a top-ranked stock in the semiconductor sector.
• Broadcom Inc. (AVGO): With a market cap of $771.54 billion, Broadcom’s stock price of $1,657.48 and revenue of $42.62 billion solidify its position as a top-ranked stock in the tech industry.

These top 10 ranked stocks offer investors a mix of stability, growth potential, and attractive valuations, making them worth considering for a well-rounded investment portfolio.

The Success Story of Tesla

Tesla, Inc. has become one of the most talked-about and innovative companies in recent years, with a market capitalization of $737.53 billion as of the latest data. Founded by Elon Musk, Tesla has revolution the automotive industry with its electric vehicles, energy storage solutions, and solar products.

One of the key factors contributing to Tesla’s success is its relentless focus on innovation. The company has consistently pushed the boundaries of technology, introducing groundbreaking features such as Autopilot, over-the-air software updates, and high-performance electric vehicles. Tesla’s commitment to sustainability and clean energy has also resonated with consumers, making it a leader in the shift towards electric transportation.

Tesla’s stock price has seen remarkable growth, with a 10.20% increase in the latest trading days session. This is a testament to the confidence investors have in Tesla’s long-term prospects and the leadership of Elon Musk. The company’s financial performance has also been strong, with revenue of $94.75 billion, positioning Tesla as a major player in the automotive and energy sectors.

In addition to its financial success, Tesla has also made a positive impact on the environment. By promoting the adoption of electric vehicles and renewable energy sources, Tesla is helping to reduce carbon emissions and combat climate change. This commitment to sustainability has earned Tesla a loyal following and enhanced its reputation as a forward-thinking and socially responsible company.

Overall, Tesla’s success story is a testament to the power of innovation, leadership, and sustainability. As Tesla continues to push the boundaries of technology and drive the transition towards a cleaner, more sustainable future, it is likely to remain a key player in the automotive and energy industries for years to come.

Also read: John Deere Stock Forecast: What to Expect in the Coming Months

Tesla’s history and background

Nikola Tesla’s journey to becoming one of the greatest inventors of all time was anything but smooth sailing. Arriving in New York in 1884, Tesla began his career working for Thomas Edison, where his designs quickly gained recognition. However, a falling out with Edison led Tesla to establish his own company, the Tesla Light and Manufacturing Company, in an attempt to bring his AC generators and motors to life.

Unfortunately, Tesla’s naivety and lack of business acumen led to failure, leaving him penniless and working as a ditch digger in 1886. Despite this setback, Tesla’s engineering reputation caught the attention of J. Pierpont Morgan, who became his benefactor and supported his ideas on transmitting electric power and worldwide wireless broadcasting.

With Morgan’s backing, Tesla embarked on ambitious projects such as the Niagara Falls power system and a universal power supply and world-wide broadcasting plant in Long Island. However, financial troubles and delays plagued these projects, leading to their eventual demise and Tesla’s return to New York City.

Despite facing numerous setbacks and betrayals throughout his career, Tesla’s genius and innovative ideas never wavered. His contributions to the field of electricity and technology have left a lasting legacy, solidifying his place in history as a true visionary and pioneer in the world of science and engineering.

Elon Musk as CEO

Elon Musk has been the CEO of Tesla Motors since 2008, taking over from the company’s co-founders Martin Eberhard and Marc Tarpenning. Musk’s leadership has been instrumental in shaping Tesla into the innovative and groundbreaking company it today. Under his guidance, Tesla has become a leader in the electric vehicle industry, producing high-quality, environmentally friendly cars that have captured the attention of consumers worldwide.

Musk’s vision for Tesla goes beyond just creating electric cars; he envisions a future where sustainable energy is the norm and fossil fuels are a thing of the past. This vision has driven Tesla to develop cutting-edge technologies, such as the Supercharger network and the solar roof, that aim to revolutionize the way we power our homes and vehicles.

As CEO, Musk has faced challenges and criticism, but his unwavering dedication to the company’s mission has helped Tesla overcome obstacles and continue to grow. His hands-on approach and willingness to take risks have led to the successful launch of new products and innovations, such as the Model S, Model 3, and Cybertruck.

Musk’s leadership style is often described as visionary and ambitious, with a focus on pushing the boundaries of what is possible. His passion for innovation and commitment to sustainability have made him a key figure in the tech and automotive industries, with many looking to him as a role model for how to lead a successful and forward-thinking company.

Overall, Elon Musk’s tenure as CEO of Tesla Motors has been marked by groundbreaking advancements in electric vehicle technology and a commitment to creating a more sustainable future. His leadership has been instrumental in shaping Tesla into a global leader in the automotive industry and a pioneer in the development of clean energy solutions.

Tesla’s strategy and future prospects

As Tesla navigates through a challenging period marked by declining profits and increased competition in the electric vehicle market, the company is focusing on strategic initiatives to propel its growth and maintain its position as a market leader. of Tesla’s key trademarks is its focus on releasing one product at a time, while also expanding its product lineup to cater to a wider range of consumers. The company has introduced models like the Model 3 sedan, the Model X SUV, and the upcoming Cybertruck to diversify its offerings and attract new customers.

To address cost concerns and ensure a sustainable supply chain for its vehicles, Tesla has established manufacturing facilities in the U.S., China, and Germany. Additionally, the company has partnered with key stakeholders like Panasonic to build the Gigafactory in Nevada, which produces battery packs for the Model 3 and energy storage products. By keeping costs down on lithium-ion battery packs, Tesla can enhance its profitability and offer competitive pricing for its electric vehicles.

Looking forward, Tesla is poised to capitalize on the growing electric car market as more luxury automakers enter the space. Analysts predict that electric vehicles will account for approximately 29.5% of all new car sales by 2030, presenting a significant opportunity for Tesla to expand its market share. Despite facing challenges in the short term, such as waning consumer interest and increased competition, Tesla’s long-term success remains uncertain.

While the company has surpassed expectations in the past, with record-breaking vehicle deliveries in 2020, Tesla continues to face obstacles in achieving its ambitious goals. As an established industry player, Tesla must continue to innovate and differentiate itself in a rapidly-evolving market. With its focus on launching new offerings, expanding its global presence, and leveraging strategic partnerships, Tesla remains at the forefront of the electric vehicle revolution, poised for future growth and success.

Tesla’s struggles in the EV market

Despite being a pioneer in the electric vehicle (EV) space, Tesla is facing significant challenges in the increasingly competitive market. Two major obstacles stand in the way of the company’s growth: waning consumer interest and increased competition.

Recent polls have indicated a decline in public interest in owning an electric car, with consumers expressing a desire for lower-priced EVs that are currently not available in the market. Additionally, skepticism surrounding the current charging infrastructure has made driving an EV on a daily basis more challenging compared to traditional gas-powered vehicles.

Many automakers, including BMW, Mercedes, Hyundai, and Kia, have entered the EV space and have seen promising sales of electric or hybrid vehicles. Earlier this year, Chinese automaker BYD briefly surpassed Tesla as the world’s top-selling electric carmaker, highlighting the intensifying competition in the industry.

Furthermore, Tesla’s innovation in the EV space has slowed, with the company opting not to release any new car models in 2022. The Cybertruck, one of Tesla’s highly anticipated releases, underperformed expectations and faced a significant recall due to a defect in the accelerator.

While Tesla’s CEO, Elon Musk, has expressed ambitions of releasing a more affordable EV model to enter the mass market, recent reports suggest that plans for such a vehicle have been scrapped. However, Musk announced during the latest earnings report that a “more affordable” EV would be in production by early 2025.

In the midst of these challenges, Tesla must find a way to navigate the competitive EV market, rekindle consumer interest, and address concerns surrounding charging infrastructure to maintain its position as a leader in the industry.

Musk’s AI bet and its potential payoff

Elon Musk’s vision for Tesla goes far beyond just electric vehicles. He envisions Tesla as an AI and robotics company, with a strong focus on becoming a leader in the autonomous driving space. Musk particularly enthusiastic about the prospect of creating a self-driving car, which he has dubbed the “Cybercab.” This ambitious project could potentially be enormously profitable for Musk, with forecasts suggesting that robotaxis could generate trillions of dollars in the coming years.

However, the road to self-driving taxis is fraught with challenges. Tesla has faced setbacks in its autonomous driving endeavors, with promises of a million autonomous taxis on the road by now remaining unfulfilled. Additionally, the company does not yet have a license to test driverless vehicles in California. Other players in the autonomous driving space, like General Motors’ Cruise, have also faced their own challenges, such as accidents involving pedestrians.

Despite these hurdles, Musk remains committed to pushing forward with his AI ambitions. He believes that Tesla is capable of solving autonomy and becoming a leader in the field. Musk’s dedication to AI and robotics has led him to demand more control of Tesla, with threats to divert his energy to AI products outside of the company if his wishes are not met.

As Musk continues to juggle multiple endeavors, including his work with SpaceX and his artificial intelligence startup xAI, the question remains: will his AI bet pay off? With Musk’s unwavering belief in Tesla’s potential in the AI and robotics space, only time will tell if his vision will come to fruition and if the potential payoff will be as significant as he anticipates.

Megacap Stocks and Their Impact

Megacap stocks, with market capitalizations exceeding $200 billion, play a crucial role in the global economy and financial markets. These mega-cap companies, such as Apple, Amazon, Microsoft, and Google, hold significant influence in various industries due to their size and volume of goods and services sold. Their market dominance and steady growth have propelled them to new heights of success, with some even reaching trillion-dollar market caps.

The surge in innovative and disruptive technology in 21st century has reshaped the landscape of mega-cap stocks, with many companies in the tech sector now dominating the list of top companies by market capitalization. However, the decline of traditional blue-chip companies like ExxonMobil and General Electric following the 2008 credit crisis has reshuffled the ranks of mega-cap stocks.

Despite their success, mega-cap stocks also have limitations. The concentration of market leadership in a handful of tech giantsm central bank, has raised concerns about the potential for another tech bubble. A sustained downturn in these select stocks could have a significant impact on the broader market, highlighting the importance of diversification and risk management for investors.

In conclusion, mega-cap stocks wield significant influence in the global economy, with their market dominance shaping trends in various industries. While they offer opportunities for growth and stability, investors should be mindful of the risks associated with concentrated market leadership and the potential implications for the broader market.

Understanding the concept of megacap stocks

Megacap stocks are a category of stocks with a market capitalization or market value exceeding $200 billion. These stocks belong to the largest publicly traded companies globally and are often referred to as mega-cap in the United States. Market capitalization, which is the total value of outstanding common shares owned by stockholders, is a key metric used to categorize stocks into different segments based on their size.

In comparison to large-cap stocks, which have a market capitalization below $200 billion, megacap stocks represent the top tier of companies in terms of size and market value. These companies typically have a significant impact on the broader stock market due to their size and influence.

Megacap stocks are listed on major stock exchanges such as the NASDAQ Capital Market or American Stock Exchange (AMEX), making them easily accessible to investors. These stocks are often considered to be relatively stable and less volatile than smaller companies, making them attractive investments for those seeking long-term growth and stability in their portfolios.

Investing in megacap stocks can provide investors with exposure to well-established companies with a track record of success and stability. These companies often have a global presence, diverse revenue streams, and strong competitive advantages that help them weather economic downturns and market fluctuations.

Overall, understanding the concept of megacap stocks is essential for investors looking to build a diversified and resilient investment portfolio. By including these large and established companies in their investment strategy, investors can benefit from the stability, growth potential, and market influence that megacap stocks offer.

Megacap stocks with over $1 trillion valuation

In recent years, a select group of megacap stocks have achieved the incredible milestone of surpassing a market value of over $1 trillion. These companies, considered to be the largest publicly traded companies in the world, have shown exceptional growth and market performance to reach such astronomical valuations.

One of the first companies to achieve this feat was Apple, which hit the $1 trillion mark on August 2, 2018. Since then, other tech giants such as Microsoft, Amazon, and Google’s parent company Alphabet, have also joined the trillion-dollar club. These companies have continued to innovate and expand their reach in various industries, solidifying their positions as market leaders.

More recently, companies like Meta Platforms, Tesla, and Nvidia have also crossed the $1 trillion valuation mark, further consolidating the dominance of megacap stocks in the global market. These companies have demonstrated resilience and adaptability in the face of changing market dynamics, driving their market capitalization to unprecedented levels.

As megacap stocks with over $1 trillion valuation continue to lead the way in the stock market, investors and industry analysts are closely monitoring their performance and strategic moves. These companies are not only shaping the future of technology, e-commerce, and other sectors but also setting new standards for market capitalization and growth potential.

In conclusion, the rise of megacap stocks with over $1 trillion valuation reflects the increasing influence and importance of these companies in the global economy. Their ability to innovate, grow, and deliver value to shareholders has positioned them as key players in the ever-evolving landscape of the stock market.

List of megacap stocks over $200 billion

As of the second quarter of 2023, there are several mega-cap stocks with market capitalizations exceeding $200 billion. These companies are among the largest publicly traded companies in the world and a significant role in the global economy. Some of the notable megacap stocks include:

1. TSMC (Taiwan Semiconductor Manufacturing Company) – Market Cap: $515 billion (Stock Symbol: TSM)
2. Visa Inc. – Market Cap: $499 billion (Stock Symbol: V)
3. UnitedHealth Group – Market Cap: $436 billion (Stock Symbol: UNH)
4. Walmart Inc. – Market Cap: $423 billion (Stock Symbol: WMT)
5. Johnson & Johnson – Market Cap: $419 billion (Stock Symbol: JNJ)
6. JPMorgan Chase & Co. – Market Cap: $418 billion (Stock Symbol: JPM)
7. ExxonMobil Corporation – Market Cap: $416 billion (Stock Symbol: XOM)
8. Mastercard Inc. – Market Cap: $369 billion (Stock Symbol: MA)

These megacap stocks represent a diverse range of industries, including technology, healthcare, retail, finance, and energy. Investors often look to megacap stocks as stable and reliable investments due to their established market positions and strong financial performance. Keep an eye on these companies as they continue to shape the global economy and drive innovation in their respective sectors.

DISCLAIMER: Not Investment Advice

The information presented here is for general informational purposes only. It is not intended as solicitation, recommendation, or endorsement for any financial or investment decisions. Before making investment choices, seek independent professional advice in legal, financial, and fiscal matters.

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