During the week of 28 July–1 August 2025, the so-called “Magnificent Seven” — Apple, Microsoft, Alphabet (Google), Amazon, Meta, Tesla and Nvidia — took centre stage as they released quarterly results. Performance diverged widely, revealing that the group has moved well beyond a single, uniform trade. Below is a concise look at each company’s key figures and the market’s response, followed by overarching insights for investors.
Company/th> | Key earnings highlights | Commentary |
---|---|---|
Tesla (23 Jul) | Revenue fell 12 percent to $22.5 billion and GAAP EPS slid to $0.33; vehicle deliveries (~384 k) declined and free cash flow contracted as the company poured capital into AI and robotics. | Tesla’s core auto demand remains soft, and management is steering attention toward AI initiatives such as the RoboTaxi pilot. |
Alphabet / Google (23 Jul) | Total revenue grew 14 percent to $96.4 billion, with double-digit gains in Search, YouTube and subscriptions. Google Cloud revenue leapt 32 percent to $13.6 billion. Net income advanced 19 percent to $28.2 billion, lifting diluted EPS 22 percent to $2.31. | Alphabet exceeded expectations on robust advertising and cloud demand and lifted 2025 cap-ex guidance to roughly $85 billion to fuel its AI push. |
Meta Platforms (30 Jul) | Revenue surged 22 percent to $47.52 billion, operating income rose 38 percent to $20.44 billion, and operating margin widened to 43 percent. Net income jumped 36 percent to $18.34 billion, delivering diluted EPS of $7.14. Daily active people hit 3.48 billion; ad impressions climbed 11 percent and average price per ad increased 9 percent. | AI-driven ad tools ignited an advertising rebound, propelling the share price double-digits. Management guides Q3 revenue of $47.5–50.5 billion. |
Microsoft (30 Jul) | Fiscal Q4 revenue grew 18 percent to $76.4 billion; operating income climbed 23 percent to $34.3 billion and net income rose 24 percent to $27.2 billion, producing diluted EPS of $3.65. Microsoft Cloud revenue reached $46.7 billion, up 27 percent, while Azure exceeded $75 billion, rising 34 percent year-over-year. | Strength across cloud and AI lifted results above expectations. The stock gained about 3.5 percent, briefly valuing Microsoft above $4 trillion. |
Apple (31 Jul) | Fiscal Q3 revenue advanced 10 percent year-over-year to $94.0 billion and diluted EPS improved 12 percent to $1.57. The company logged June-quarter records for total revenue, iPhone sales and earnings, with double-digit growth in iPhone, Mac and Services in every region; the installed base reached an all-time high. | Results beat expectations on strong hardware and record Services revenue. A $0.26 dividend is payable 14 August. |
Amazon (31 Jul) | Net sales rose 13 percent to $167.7 billion: North America $100.1 billion (+11 percent), International $36.8 billion (+16 percent), and AWS $30.9 billion (+17.5 percent). Operating income climbed to $19.2 billion and net income reached $18.2 billion (EPS $1.68). | Retail and cloud growth remained broad-based. Generative-AI enhancements across Alexa, AWS and shopping boosted engagement and efficiency, though heavy AI spending and cautious guidance muted exuberance. |
Nvidia (27 Aug!) | Nvidia is the sole Mag7 member yet to report; earnings are due 27 August 2025. | With AI-chip demand still red-hot, investors await confirmation that Nvidia’s explosive growth can continue. |
Overall takeaways
The week’s results underscore widening dispersion within the Mag7. Tesla’s auto revenues are contracting, yet Alphabet, Microsoft, Meta, Apple and Amazon all posted double-digit top-line growth, fuelled by advertising, cloud and AI-led products. AI and cloud were the common drivers: Google Cloud revenue climbed 32 percent, Microsoft Cloud 27 percent and AWS 17.5 percent, while Meta’s AI-powered ad stack delivered record margins.
Market reaction skewed positive. Microsoft shares added roughly 3.5 percent, briefly lifting its market cap above $4 trillion, and Meta jumped more than 11 percent. Apple and Amazon reported after Thursday’s close; investors welcomed the beats yet pored over forward guidance and swelling AI budgets. Nvidia’s late-August release now looms as the next major catalyst.
In short, this earnings season signals the Mag7 are no longer a one-way trade: firms able to turn AI hype into concrete revenue and profit gains are rewarded, while those with slowing legacy businesses feel the strain. Investors should track whether cloud and AI momentum persists through year-end and how Nvidia’s results reshape sentiment.