One chart shows why mega-cap tech continues to dominate the stock market

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• Mega-cap tech stocks have strongly outperformed the S&P 500 over the past two years.
• The Magnificent Seven cohort showed 36% earnings growth in 2023, versus a 4% decline for others.
• Earnings growth for the group is expected to slow but still outpace the S&P 500 in the next two years.

One chart encapsulates why mega-cap tech stocks have dominated the broader stock market over the past few years.