# Mag 7 AI spending jitters hit mega-cap tech — back the chip suppliers instead

_AI-generated trading idea · LONG · AMD, INTC, MU_

> Canonical page: https://commonquant.ai/research/for-you/mag-7-ai-spending-jitters-hit-mega-cap-tech-back-the-chip-su--ffd65b61-b884-474f-a9dd-a9803f2670af

The biggest tech companies like Apple and Microsoft just lost $2.3 trillion in value because investors are doubting their massive AI spending. But the companies that actually supply the physical chips for that AI are booming, adding $2 trillion in value as Wall Street redirects money to the real winners of the AI buildout.

## Idea

Goldman Sachs notes that we're seeing a generational surge in capital spending, which directly funds the chip suppliers. While the 'Mag 7' stocks lost $2.3 trillion in June due to doubts about their AI returns, investors are pivoting to the companies that actually make the hardware — Micron, Intel, and AMD added a combined $2 trillion in value. This divergence suggests money is rotating from the buyers of AI to the builders of AI, creating a sustainable trend we can ride.

## What happened since

- **AMD** · LONG · T+1 0% · T+5 0%
- **INTC** · LONG · T+1 -5.2511% · T+5 -3.7947%

_Price changes since publication; updated 2026-07-12T03:12:15.229410+00:00._

## Key details

- Symbols: AMD, INTC, MU
- Timeframes: D1
- Tags: \#ai\_chips, \#rotation, \#infrastructure

## Community

- Upvotes: 35
- Views: 667
- Copies: 0
- Cosigns: 0

## News sources

- [Magnificent Seven stocks lose $2.3 trillion in June 2026](https://finance.yahoo.com/markets/stocks/articles/magnificent-seven-stocks-lose-2-121343239.html) — Yahoo Finance
- [Record chip rally adds $2 trillion in combined value to Micron, Intel and AMD in second quarter](https://www.cnbc.com/2026/06/30/ai-chip-rally-in-q2-adds-2-trillion-in-value-to-micron-intel-amd-.html) — CNBC
- [Goldman Sachs Says Capital Spending Is Powering the Bull Market](https://www.bloomberg.com/news/videos/2026-07-01/goldman-sachs-oppenheimer-on-capital-spending-video) — Bloomberg

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