Magnificent 7 stocks news, Oct 22, 2026

AMZN fell sharply, giving back much of the prior days' Morgan Stanley-driven gains heading into the Oct 29 report. The options market is pricing roughly a 7.5% move in either direction for the Q3 release, where consensus sees EPS of $1.96 on revenue near $202.2B. Morgan Stanley raised its target to $350 and reiterated Amazon as its top pick on a 47% AWS growth projection for 2027. The capex debate dominates: the 2026 outlook was raised to $220B while free cash flow turned negative at -$7.6B, drawing scrutiny into the print. Reports also note AWS received about $5B of Nvidia GB300 racks in August and reportedly lacks sufficient energy to power all of it.

GOOGL declined along with the broader tech selloff triggered by Meta's capex hike, leaving the shares well below their 52-week high. On the news side, OpenAI will make its GPT models available through Google Cloud's model garden and Antigravity coding tool in coming weeks. Law firms again flagged the Dec 1, 2026 lead-plaintiff deadline in the securities-fraud class action over alleged misrepresentation of Gemini 3.5 Pro progress. CEO Sundar Pichai said Google Cloud is forgoing short-term revenue to reserve compute for frontier AI development, with 2027 capacity requests called incredibly difficult to accommodate. Q3 earnings arrive Oct 28, with J.P. Morgan expecting Google Cloud revenue to roughly double year over year.

META posted the largest decline in the group, erasing roughly $108B in market value intraday after Wednesday's Q3 report. Revenue of $64.60B beat consensus and rose 26.1% year over year, but EPS of $3.83 missed and free cash flow turned negative at -$2.12B for the first time as a public company. Full-year capex guidance was raised to $135-145B and future spending commitments jumped to $825B from $700B in July. The board approved a new non-voting Class C share class effective January 2027, functionally a 2-for-1 split, to fund AI capex while preserving Zuckerberg's voting control. A New Mexico jury ordered a $25B privacy fine that Meta will appeal, and debt of $83.7B now exceeds cash and securities of $82.4B.

MSFT moved lower in the same risk-off session ahead of its Oct 28 earnings. The day's lead item was positive on the AI front: Microsoft's MAI-DxO diagnostic AI scored 83.2% accuracy on complex NEJM cases versus 36.1% for generalist physicians in a peer-reviewed Science study, with clinical testing at Beth Israel Deaconess starting within two months. Offsetting that, Microsoft warned that China-aligned group Storm-0940 has used the open-source ARTEX agentic AI framework since September 2026 to automate attacks, achieving privileged cloud access in under three hours in multiple cases. Its own security report says frontier AI models cannot be trusted even as the company pushes more capable agents. Fortune also reported internal projections placing the next Xbox at $1,200-1,800.

NVDA fell 4.4% in the AI selloff that Meta's capex update set off, compounded by Huang's CNBC remark that scarce capital is holding back neocloud providers. GTC Berlin nonetheless delivered a product launch: Huang unveiled DSX POD, a prefabricated AI factory container with 7 Vera Rubin NVL72 racks and 504 GPUs deployable in as few as 14 days. Vertiv said a joint approach could cut power and cooling deployment from 120 days to 48 days, worth up to 30% more cumulative AI token output in the first 12 months. Huang also urged European nations to build $50B data centers and said U.S. export restrictions have compressed China's semiconductor timeline. Fiscal Q3 is expected to show revenue of $109 billion, up 91%, ahead of the Nov 17 report.

TSLA slipped about 3% as the broader tech sell-off deepened after its Wednesday report. Q3 revenue of $28.05 billion was essentially flat year over year while adjusted EPS of $0.48 topped the $0.43 estimate, and free cash flow swung positive at about $1.5B. The market focused on the cut: full-year capex was reduced to roughly $20B from more than $25B after Q3 capex of $4.73B came in well below consensus. Safety headlines also weighed, with a 71-year-old pedestrian killed on Interstate 80 when a Tesla traveling about 70 mph in Full Self-Driving mode struck him. SpaceX's regulatory filing added that any Tesla merger would require Musk's approval despite his recusal, while AI chief Ashok Elluswamy said Tesla is building its own AI-based maps to fix FSD navigation issues.