MAGS: The Strong Concentration In Mag 7 And Its Challenges
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The ETF MAGS, which focuses on the Magnificent Seven, is currently trading at a high P/E ratio of 37x, suggesting it may be overpriced. Projections indicate a slowdown in EPS for the Magnificent Seven in 2025, while the rest of the S&P 500 is expected to grow.
December 19, 2024 | 8:15 pm
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MAGS ETF, which offers exposure to the Magnificent Seven, is trading at a high P/E ratio of 37x, suggesting it may be overpriced. EPS growth for these stocks is expected to slow in 2025.
The ETF is trading at a high P/E ratio, close to all-time highs, which suggests it may be overpriced. Additionally, the expected slowdown in EPS growth for the Magnificent Seven in 2025 could negatively impact the ETF's performance.
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IMPORTANCE 80
RELEVANCE 100