New Global X ETF Targets ‘Magnificent Seven' — With a Notable Exception

Impact · against what's priced in

The launch of the Global X Magnificent Six ETF is a non-event for the AI giants as their massive capex plans and earnings contributions are already baked into current valuations. For Tesla, the exclusion from the ETF and the impact of the midterm election defeat reinforce a bearish trend already reflected in its breach of five-year price floors.

TSLA−0.10

Already priced in

The price assumes

The combination of election losses and a five-year price floor breach suggests a fundamental re-rating of the multiple.