in , ,

Past Performance Indicates a Nasdaq Boom in 2024: Find the Best Five “Magnificent Seven” Stocks to Purchase

Read Time:3 Minute, 0 Second

In the world of stock trading, the Nasdaq has been a symbol of resilience since its founding almost fifty years ago, seldom seeing negative yearly returns. For many, the Nasdaq has been a dependable place to invest, with just 14 instances of negative returns in its history. Although the Nasdaq experienced notable downturns in 2002, 2008, and 2022, past evidence suggests that the market often recovers well from these periods of weakness.

Interestingly, following the wild years of 2002 and 2008, the Nasdaq began an amazing run of yearly rallies that continued for years. The index had an average annual return of 16% from 2003 to 2007. Two exceptional years, 2009 and 2010, saw an average return of 30%. In 2023, the Nasdaq saw an incredible comeback, returning an astounding 43% of its initial investment. This comeback was mostly ascribed to the general fervor surrounding artificial intelligence (AI), which had a major impact on the spike in tech stocks.

There is no shortage of possibilities for investors to make money as we navigate the bright future of 2024. The “Magnificent Seven” stocks listed below continue to provide investors alluring opportunities even after showcasing their AI-driven potential in the last year:

1. Amazon (AMZN) on the NASDAQ

Renowned for its expertise in cloud computing and e-commerce, Amazon has had difficult times recently because of changes in customer behavior and the state of the economy. Nonetheless, the digital behemoth has shown resilient and flexible through calculated investments, including the recent partnership with Anthropic, a preeminent AI research company. Through this cooperation, Amazon’s core businesses, like AWS, are revitalized while simultaneously improving its AI capabilities.

Amazon’s price-to-sales ratio now represents an appealing opportunity for investors while confronting challenges, indicating potential for significant growth in the near future.

2. Microsoft (MSFT) on the NASDAQ

Microsoft, a leader in the AI revolution, has established itself as a major force in the IT industry with its calculated investment in OpenAI. As part of its ongoing innovation and expansion of its AI-driven solutions, Microsoft has integrated AI technologies such as ChatGPT throughout its operating systems.

Microsoft is a tempting investment opportunity due to its excellent presence in the AI field and long-term development potential, despite some investors being concerned about its premium pricing.

3. Google (GOOGL) (NASDAQ: GOOGL)

Alphabet has shown resilient in the face of difficulties in its advertising industry by expanding its sources of income, especially in cloud computing. Alphabet offers investors looking for inexpensive exposure to the AI industry an alluring prospect, especially with its increased emphasis on AI inside its cloud business.

4. Meta Platforms: META on the NASDAQ]

Meta Platforms, formerly Facebook, has weathered difficult times by concentrating its efforts on its core competencies, which include social media and the metaverse. Fueled by the integration of AI throughout its platforms, Meta Platforms is well-positioned for ongoing development, as seen by a recent upswing in revenue and free cash flow.

5. Nvidia Corporation (NVDA)

Nvidia is leading the AI revolution as a pioneer in high-performance GPUs, and its products are essential to many different AI applications. Nvidia gives investors a chance to profit from the growing AI sector with its strong growth forecasts and smart investments in cutting-edge AI technologies like voice recognition and robotics.

The “Magnificent Seven” firms’ AI-driven momentum and the Nasdaq’s track record of historical resiliency point to a bright future for investors in 2024. Investors may take advantage of the revolutionary potential of artificial intelligence and profit from the projected market boom by making smart investments in these firms.

What do you think?

Researchers in Korea Unveil Innovative C-Transformer AI Chip, Undermining Nvidia’s Domination

Rafael Nadal Withdraws from Indian Wells: The Tennis Legend’s Injury Problems Continue