Here's the Only "Magnificent Seven" Stock That's Not Overpriced, According to the "Dean of Valuation"
When stocks are categorized into a group and given a catchy nickname, you might say that they've arrived. In the 1960s and early 1970s, the "Nifty 50" were wildly popular. In the 1990s, "The Four Horsemen" grabbed investors' attention. A few years ago, the FAANG stocks were all the rage.
Today, we have the "Magnificent Seven." With such a superlative adjective in the nickname, you'd expect that these stocks have been huge winners -- and you'd be right. However, winning can come at a cost. That's literally true with these stocks: Most of them now have premium valuations.
Don't just take my word for it. New York University finance professor Aswath Damodaran is widely known as the "Dean of Valuation" because of his expertise in valuing stocks. Damodaran recently posted on his blog, "On every pricing metric, the Mag Seven stocks trade at a premium over the rest of the stocks in the S 500."
Source Fool.com
