Torsten Slok said Tuesday that profit margins outside the Magnificent 7 must start rising, or lofty Big Tech valuations could come under pressure.
The Apollo chief economist argued the key test is the S&P 493 — companies beyond the seven largest US tech names — where AI spending has yet to translate into stronger profitability.
His warning suggests investors may need broader earnings evidence from corporate America, not just heavy AI investment, to sustain the market’s biggest technology stocks.