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Magnificent 7 stocks lose $1.5T in what might be ‘textbook correction’

The “magnificent seven” tech stocks have felt a huge loss in the past week as President Trump's threatened tariffs thrust volatility in the market, but these initial shocks are likely to be easier as permanent policies are positioned, experts told the Post.

Tesla, Nvidia, Alphabet, Meta, Amazon, Apple and Microsoft's group of tech giants have flown more than $1.5 trillion from their total ratings since their launch in 2025, after enjoying the big profits last year.

“There was some pullback in the seven spectacular stocks, especially in the flight, as the market reached its all-time highs in 2024,” Oxygen Financial co-founder Ted Jenkin told the Post.

Chipmaker Nvidia's shares have plummeted about 20% since its launch in 2025. Getty Images

As Mag 7 stocks usually trade higher on future revenue promises, concerns over trade wars and potential recessions “abused them at an extraordinary rate,” Jenkin added.

Half of the shares, including Nvidia, Tesla, Microsoft and Amazon, began to recover on Tuesday.

Some of the tech giants have been hit hard twice with their own deterrents, including Tesla owner Elon Musk and the Department of Justice's anti-trust efforts targeting Google.

“We clearly need a stable Trump policy and investors need to know the rules of the game,” Wedbush analyst Dan Ives wrote in a memo on Tuesday.

Musk's Tesla shares have tanked nearly 40% so far this year, and are easily struggling with the worst decline in the bundle.

Investors have become cautious about Musk's ability to divide time between his company and government efficiency, especially after admitting that Musk, along with the government's task force, has recognized the company as “very difficult.”

Meanwhile, electric vehicles are set up violently, and protests have erupted in Tesla showrooms around the country as protesters condemn their presence in the White House.

Investors are wary of Mask's ability to divide his time between his corporate and government efficiency. AFP via Getty Images

“In the past two months, there have been little or no signs of musk in Tesla's factories and manufacturing facilities. It's become a reality for Tesla stock,” Ives said, urging Musk to “step up” with Tesla.

Stock showed some signs of rebound on Tuesday, culling around 4%.

Jensen Huang's Chipmaker Nvidia shares have plummeted about 20% since its launch in 2025.

The alphabet was also particularly hit, with its inventory falling about 12% after the Justice Department confirmed it was pursuing a disbandment of the online search giant's monopoly.

An investigation has begun after the fire torched four Tesla Cybertrucks in Seattle on Sunday night. @¿ Choose via Storyful

Mark Zuckerberg's meta has emerged as the only MAG seven shares to avoid dips so far this year after reporting buoyant revenues, including sales and revenue jumps.

This year's stock price rose 2% this year. This avoids some of the same tariff worries that hurt fellow Mag 7 members, as it relies on digital advertising and physical sales.

Stocks of Amazon, Apple and Microsoft have not declined 9.9%, 9% and 8.3% respectively since their launch in 2025.

However, according to John Creekmur, chief investment officer at Creekmur Wealth Advisors, the big losses look like “textbook revisions.”

Meta has appeared as the only Mag 7 shares to avoid dips so far after reporting buoyancy earnings. Reuters

“The rate at which the market has dropped over the past few days and weeks is an important indication that we are in corrections and that it is being corrected rather than bear market,” he said in a note on Tuesday.

“The revisions tend to be very short and fast moving, but the bear market takes time to play and the movement is not that noticeable in the very short term,” he added.

Some have taken the opposite approach, but have sounded alarms regarding market volatility.

“The gambits from Trump have not been rewarded, and the markets are clearly aware of the haphazard approach and the potential for economic damage,” said Ken Mahoney, CEO of Mahoney Asset Management, “And that could push the economy into a recession. So the market is not wrong. It's not overreacting.”

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