The Mag 7's reign is ending. A top fund manager says that means trouble for the S&P 500.
Bloomberg/Getty Images Bill Smead warns the Magnificent Seven stocks are fading, which will weigh on the S&P 500. "It appears it's already cracked," Smead said of the S&P 500. He said the index would lose value over the next decade. A chorus of market commentators have proclaimed the Magnificent Seven cohort is dead, and Bill Smead is joining in on the funeral dirge. In an interview with Business Insider on Tuesday, Smead — who manages the Smead Value Fund (SMVLX), which Morningstar data shows has beaten 98% of similar funds over the last 15 years — said that the Mag 7 stocks are now on their way out of the top positions in the market. It's become apparent in 2026 that the "Mag 7" stocks no longer move in lock-step. Some are spending big on AI (Microsoft, Meta, Amazon, Alphabet) while others are getting a boost from that spending (Nvidia), and some have mostly stayed away from the technology (Apple). Some are up big this year, while others have flou...
