Meta, Amazon, and Alphabet Poised for Rebound in 2026
On January 8, 2026, Zacks Investment Research highlighted that Meta Platforms (META) and Amazon (AMZN) are showing signs of potential rebound after underperforming in 2025. Meta currently trades at 21.9x forward earnings, while Amazon is at 30.7x, both significantly below their historical averages. Analysts rated Meta with a Zacks Rank #3 (Hold) and Amazon with a Zacks Rank #2 (Buy).
In contrast, Nvidia (NVDA) maintains a strong outlook with a Zacks Rank #1 (Strong Buy), supported by a 16% increase in next year’s EPS estimates in the last two months. Microsoft (MSFT) remains stable, with a Zacks Rank #2 (Buy) as it tests a key support zone. Apple (AAPL) and Tesla (TSLA), while having enjoyed recent rallies, are in downtrends, with Tesla trading at over 200x forward earnings, which highlights potential downside risks.
The Magnificent 7 (Meta, Amazon, Alphabet, Microsoft, Nvidia, Apple, and Tesla) are expected to offer diverse investment opportunities in 2026 amid shifting fundamentals and valuations.
