The New Must-Own “Magnificent” Stocks for 2026

Each week, host and Zacks stock strategist Tracey Ryniec teams up with guest experts to break down the most compelling trends in stocks, bonds, and ETFs — and what they mean for investors’ everyday lives.

The era of the “Magnificent 7” may be winding down. Before that, investors rallied around the FANG stocks, which later evolved into FANGMAN. At one point, some pushed to include Tesla, transforming the group into the Magnificent 7.

Now, with several of those mega-cap names losing momentum, that once-dominant lineup appears to be fading.

Moving Past Apple and Microsoft

For years, mega-cap tech giants like Apple and Microsoft have led the market. But what if leadership shifts?

Tracey highlights five non–big tech companies that could emerge as the “new” magnificent stocks. All five are trading at fresh five-year highs and are projected to deliver double-digit earnings growth in 2026.

Are you prepared to look beyond Apple and Microsoft to discover the market’s next generation of winners?

5 New “Magnificent” Stocks to Consider for 2026

MasTec, Inc. (MTZ)

MasTec operates across communications, energy, and utilities infrastructure — positioning it as a potential AI infrastructure beneficiary. The stock has surged 225% over the past five years and is trading at fresh five-year highs.

While it has yet to report Q4 2025 results (due Feb. 26, 2026), earnings are projected to climb 61.8% in 2025 and another 28.6% in 2026. However, with a forward P/E of 33.5, the valuation is well above traditional value levels.

Does an infrastructure-focused growth name like MasTec deserve a spot on your watchlist?

Caterpillar Inc. (CAT)

Known for its construction and mining equipment, Caterpillar is benefiting from renewed infrastructure and development activity. Shares are up 262% over the past five years, also marking new five-year highs.

Earnings are expected to grow 18.9% in 2026. Yet, like MasTec, Caterpillar trades at a premium, with a forward P/E of 33.6.

Is there still upside ahead, or have investors already priced in the growth?

Walmart Inc. (WMT)

One of America’s largest retailers, Walmart has significantly expanded its online presence since 2020. The strategy appears to be paying off: shares have gained 164% over five years and sit at new highs.

Despite projected earnings growth of 11% in fiscal 2027, Walmart trades at a lofty 42.6 forward P/E — even higher than NVIDIA at roughly 25x.

Has Walmart become overheated, or is its transformation still underappreciated?

Eli Lilly & Company (LLY)

Eli Lilly, a pharmaceutical heavyweight, is riding strong momentum driven partly by its weight-loss treatments and an upcoming pill launch. The stock has soared 404% over five years, outperforming the S&P 500 and hovering near record highs.

Earnings are forecast to rise 39.6% in 2026. With a forward P/E of 30, Lilly isn’t cheap, but it’s more moderately valued compared to some peers.

Could healthcare leadership define the next “magnificent” cycle?

Howmet Aerospace Inc. (HWM)

Operating in aerospace and defense, Howmet has delivered one of the most remarkable runs of the group, climbing 798% over the past five years and reaching new all-time highs.

Earnings are projected to grow 18.8% in 2026. Still, its forward P/E of 56 signals a steep premium.

Can a high-growth defense supplier sustain its momentum at these levels?

Sources: Tracey Ryniec