Meta, Amazon Lead Magnificent Seven Cash-Flow Ranking at 9x and 10.86x

1 articles · Updated · The Motley Fool · Jun 23

Meta Platforms and Amazon emerged as the cheapest Magnificent Seven stocks on forward cash flow, at 9 times and 10.86 times next-year estimates, according to Motley Fool’s ranking.
That screen used price-to-cash-flow rather than price-to-earnings, arguing the metric better captures fast-growing companies still reinvesting heavily in AI and other expansion bets.
Meta’s case rests on scale and monetization: its family of apps drew 3.56 billion daily users in March, supporting ad pricing power as generative AI tools improve targeting and click-through rates.
Amazon’s appeal centers on AWS, where generative AI and large language model offerings have helped reaccelerate sales; the cloud unit could more than double Amazon’s operating cash flow between 2025 and 2028.
At the expensive end, Apple ranked at 27.42 times forward cash flow and Tesla at 80.74, while Nvidia at 16.54 and Microsoft at 12.98 looked more reasonable but less compelling than the top two.