Not Nvidia. Not Microsoft. This “Magnificent Seven” Stock Is the Cheapest Right Now.

Not Nvidia. Not Microsoft. This “Magnificent Seven” Stock Is the Cheapest Right Now.

By James Brumley, The Motley Fool
Publication Date: 2026-10-25 17:50:00

As the old adage goes, you get what you pay for. In other words, if you want quality, you can expect to pay a premium for it. The idea applies within the world of investing as well.

Still, knowing that stocks’ prices and valuations constantly ebb and flow — sometimes to extremes — it’s not wrong to think about the price you’re paying to plug into a particular company’s performance.

Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a “Double Down” signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same “Total Conviction” signal is flashing for a company 1/100th the size of Nvidia. Continue »

This premise presents a potential opportunity to investors interested in the market’s biggest and highest-profile names. Although they’re all so-called “Magnificent Seven” stocks, one of these names is measurably cheaper than all the others right now. While not a reason in and of itself to step in, this valuation bolsters the existing bullish case.

This Mag-7 bargain? Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL), priced at just over 16 times this year’s analyst-projected per-share earnings of $20.59.

The numbers

If you’ve been keeping tabs on Google’s parent company and its recent quarter, you already know something important. Its earnings projection includes a $6.26-per-share second-quarter accounting benefit linked to the growth of the company’s investments in…