The market’s leading tech stocks don’t hold the same sway they once did, and that may change the ingredients needed for a Wall Street rally. The Roundhill Magnificent 7 ETF (MAGS) — which holds shares of Microsoft , Apple , Alphabet , Tesla , Amazon , Nvidia and Meta Platforms in roughly equal measure — is now down 17% for the year. That’s more than double the drop of almost 7% in the S & P 500 . MAGS YTD mountain This Mag 7 fund is underperforming the broader market in 2025. That underperformance has watered down the Mag 7’s weighting in the S & P 500 to 29% from 34% in early January, according to Strategas ETF strategist Todd Sohn. The impact of each individual stock on the S & P 500 index is determined by the market capitalization of each company. “Index concentration has cooled for the moment, and along with this, so has Tech sector flows,” Sohn wrote in a note to clients Thursday, referring to the amount of money earmarked for specific groups of stocks. Still, there have been some recent signs of life for the Big Tech stalwarts. Netflix’s earnings cruised past expectations, lifting sentiment. Tesla’s results missed estimates, but the stock has gained ground for three straight days anyway. Amazon and Nvidia executives said Thursday that demand for artificial intelligence data centers is not slowing down. But that hasn’t been enough for the market indexes to fully shake off their tariff-worry slump, as the S & P 500 once again failed to retake the 5,500 level on Thursday, even with a tech-powered advance . To be sure, the weaker influence of the Big Tech names is not necessarily a bad thing for the broader market. Many strategists and investors spent 2024 worrying that the market was too concentrated in just a handful of stocks. However, the Mag 7’s lower weighting does mean the indexes need more from other parts of the market to help fuel a true rally, just as Wall Street worries that the consumer-sensitive parts of the economy are facing an economic slowdown, or worse. “Sales and earnings expectations (+5% and +10%, respectively) are moving lower in virtually every sector,” UBS strategist Sean Simonds said in a note to clients. “The largest downgrades are in the consumer discretionary sectors like autos and consumer durables most directly impacted by tariffs. Tariff sensitive stocks are being aggressively repriced, now down 20% relative to the market.” — CNBC’s Michael Bloom contributed reporting. Get Your Ticket to Pro LIVE Join us at the New York Stock Exchange! Uncertain markets? Gain an edge with CNBC Pro LIVE , an exclusive, inaugural event at the historic New York Stock Exchange. In today’s dynamic financial landscape, access to expert insights is paramount. As a CNBC Pro subscriber, we invite you to join us for our first exclusive, in-person CNBC Pro LIVE event at the iconic NYSE on Thursday, June 12. Join interactive Pro clinics led by our Pros Carter Worth, Dan Niles, and Dan Ives, with a special edition of Pro Talks with Tom Lee. You’ll also get the opportunity to network with CNBC experts, talent and other Pro subscribers during an exciting cocktail hour on the legendary trading floor. Tickets are limited!