Becker Private Equity & Business Podcast Summary

Episode Title: No One Saw This Coming: Apple Ranks Last
Host: Scott Becker
Release Date: June 24, 2025

Introduction

In this episode of the Becker Private Equity & Business Podcast, host Scott Becker delves into the surprising underperformance of Apple within the group commonly referred to as the "Magnificent Seven" tech companies. The discussion provides a comparative analysis of these industry giants, highlighting market trends and investor sentiments over the past year.

Performance Overview of the Magnificent Seven

Scott begins by presenting a performance snapshot of the Magnificent Seven companies as of mid-2025:

• Facebook Meta Platforms: Leading the pack with a 20% increase year-to-date.
• Microsoft: Holding the position of the highest market cap company, up by 16%.
• Nvidia: Observing a growth of 9.5%.
• Tesla: Despite a 15% decline, it's showing signs of rebounding.
• Alphabet (Google): Down by 12%.
• Amazon: Slight decrease of 3%.
• Apple: Notably, the worst performer with a significant 20% drop.

“Apple is the worst performing of the Magnificent Seven this year. It's down 20% year to date and so that's the worst performing of the Magnificent Seven.”
— Scott Becker [00:00]

Apple's Unexpected Decline

Apple's downturn was particularly unexpected given its historical performance and market dominance. Scott attributes this decline to several potential factors, including market saturation, increased competition, and possible internal strategic missteps. The conversation speculates on how Apple's challenges contrast sharply with its peers' successes, raising questions about its future trajectory.

“No one saw this coming. Apple is last.”
— Scott Becker [00:00]

Comparative Analysis with Peers

Scott juxtaposes Apple's performance with that of its peers to provide context:

• Facebook Meta Platforms: Highlighted as the top performer, suggesting strong user engagement and effective monetization strategies.
• Microsoft: Maintains its top position in market capitalization, indicating robust product lines and consistent revenue growth.
• Nvidia: Its growth reflects the booming sectors of artificial intelligence and graphics processing.
• Tesla: Despite recent losses, its ability to rebound points to resilience and innovation in the electric vehicle market.
• Alphabet (Google): The decline may signal challenges in its advertising revenue or increased regulatory pressures.
• Amazon: A minor decline suggests stability but also highlights areas for potential growth or diversification.

“The best performing is Facebook Meta platforms up about 20%. Nvidia is up 9.5%. Microsoft is the second best performing... and up 16%.”
— Scott Becker [00:00]

Market Trends and Future Outlook

The episode also touches upon broader market trends influencing these companies' performances. Scott mentions the surge in rideshare companies, indicating shifts in consumer behavior and transportation trends. The overall discussion emphasizes the dynamic nature of the tech industry and the importance of adaptability for sustained success.

“Some lately listed our story about why the rideshare companies are surging.”
— Scott Becker [00:00]

Conclusion

Scott wraps up the episode by reiterating the intriguing dynamics within the Magnificent Seven, with Apple’s unexpected decline serving as a focal point for discussions on market volatility and strategic reinvention. The analysis underscores the importance of closely monitoring these tech giants, as their performances significantly impact the broader market landscape.

“Again, fascinating to watch what's going on with the Magnificent Seven.”
— Scott Becker [00:00]

Key Takeaways

• Apple's Decline: A 20% drop positions Apple as the weakest performer among the Magnificent Seven, raising concerns about its market strategy.
• Top Performers: Facebook Meta Platforms and Microsoft lead the group, showcasing strong growth and market resilience.
• Emerging Trends: The rise of rideshare companies highlights evolving consumer preferences and potential investment opportunities.
• Market Dynamics: The contrasting performances within the Magnificent Seven illustrate the volatility and competitive nature of the tech industry.

This episode offers valuable insights for investors and business enthusiasts keen on understanding the shifting paradigms within the leading tech companies. Scott Becker provides a succinct yet comprehensive analysis, making complex market movements accessible and engaging.