Good morning, investors. This earnings season has been brutal.
And most of the Magnificent 7 stocks went down.
Is this a buying opportunity, or a warning sign?
Let's dive in ↓
Earnings Scorecard (Q2)
Wall Street wants AI profits now.
In the first half of last week, retail investors sold tech stocks at the fastest pace since 2020.
In the second half, they started buying again.
So what's going on?
The market came into earnings season with sky-high expectations.
Right now, the market is rewarding two types of businesses:
Companies building AI.
Companies successfully using AI to grow faster.
Everyone else is struggling to keep investors excited.
And Big Tech is not excluded from this theme.
Here's what stood out most from this earnings season.