There are suggestions that Broadcom, surging due to recent stock split news, should replace Tesla in the Magnificent 7. The Magnificent 7 represents the top seven tech stocks in the U.S.
On June 17, Broadcom recorded $1828.87 on the New York Stock Exchange (NYSE), a 5.41% increase from the previous trading day.
With this, Broadcom’s market capitalization also recorded $851.3 billion, breaking the $800 billion mark.
This is more than Tesla. Since June 17, Tesla’s market capitalization has been $597.7 billion, ranking 10th among U.S. companies.
In comparison, Broadcom’s market capitalization ranks 8th among U.S. companies. In that order, the current market capitalization ranking of U.S. companies is Microsoft Corporation, Apple, Nvidia, Alphabet, Amazon, Meta, Berkshire Hathaway, and Broadcom.
Among them, Berkshire is an investment company operated by Warren Buffett and is not a tech company. Excluding Berkshire, Broadcom enters the top 7 in terms of market capitalization among U.S. companies.
Accordingly, there are suggestions that Broadcom should replace Tesla in the Magnificent 7.
Broadcom’s market capitalization ranks third among semiconductor companies worldwide. The market capitalization of semiconductor companies is in the order of Nvidia ($3.2 trillion), Taiwan’s TSMC ($900 billion), and Broadcom.