Apple poised to beat Nvidia and rest of Magnificent Seven from here, BTIG says

US Top News and Analysis

The tide’s turning in Apple ‘s favor, with the iPhone maker poised to outperform AI chipmaker Nvidia , according to a chart analyst at BTIG. “Mega-cap tech remains the bright spot, but we suspect that will ultimately succumb to the weak breadth ,” Chief Market Technician Jonathan Krinsky wrote in a Tuesday note, referring to so few stocks in the market performing well while so many are treading water or declining. Apple has trailed Nvidia’s performance in recent years. So far in 2024, Tim Cook’s company is ahead less than 7% while Nvidia has soared 144%. The chip stock’s lead is still more dramatic over the past five years: While Apple’s total return including reinvested dividends has reached 341%, Nvidia has surged 3,262%. AAPL NVDA 5Y mountain Apple vs Nvidia over past five years. Krinsky, whose note was published before the stock market opened Tuesday but after Apple debuted its latest artificial intelligence plans on Monday, said Apple was poised to break out to a new high. In trading Tuesday, Apple climbed as much as 6.7% to a record $206.03 intraday, scoring its first all-time high since last December. Nvidia, meanwhile, briefly fell as much as 2.5% on Tuesday. In Tuesday’s note, Krinsky showed a chart that compared the ratio of Apple’s stock price with the rest of the “Magnificent Seven,” arguing that Apple had formed a “basing” pattern for several months, opening the way for Apple to now outperform on a relative basis, compared to the other stocks.