What you need
- The basket is reviewed quarterly but only changes when seismic shifts occur
- Historically, 1-2 modifications per year (not every quarter)
- Changes triggered by market cap collapses, bankruptcies, or new dominance
- The Magnificent Seven has been stable since 2023 with no recent changes
- Next potential change: Q2 2026 if AI bubble pops or new player emerges
- Monitor billionaire 13F filings, market cap rankings, and earnings reports for early signals
The Short Answer
Quarterly assessment at end of Mar, Jun, Sep, Dec
Only when fundamentals shift dramatically
Magnificent Seven remained stable
Think of the Bro Billionaire basket like a nightclub's VIP list. It doesn't change every week just because someone's hot right now. But if a member crashes publicly, they're out. If a new billionaire emerges who's undeniably bigger than everyone else, they're in.
The Rule: Review quarterly. Change rarely. Only when survival of the fittest demands it.
Contrarian Take
Everyone's worried about Meta's metaverse spending. They should be. But what they miss is that Meta's AI advertising engine is so far ahead, they can burn $10B yearly on moonshots and still dominate.
What Triggers a Basket Change
Not every market dip causes a reshuffle. Here are the five triggers that force a stock in or out:
1. Market Cap Collapse (Below $200B)
If a stock's market cap falls below $200 billion and stays there for two consecutive quarters, it's evaluated for removal. Example: If Meta dropped to $150B due to regulatory breakup, it's out.
Trigger Level: -60% from peak sustained for 6+ months
2. Fundamental Business Deterioration
Losing market share, revenue decline for 3+ quarters, or core product obsolescence. Example: If Tesla loses 50% EV market share to BYD/Chinese competitors and stops growing.
Trigger: 3 consecutive quarters of negative revenue growth
3. A Superior Alternative Emerges
A new player enters with higher growth, better margins, and billionaire backing. Example: If a new AI chip company crushes Nvidia with better tech and Bill Ackman goes all-in, it could replace a weaker member.
Trigger: $500B+ market cap + top 3 in billionaire holdings
4. Merger, Acquisition, or Bankruptcy
If a member is acquired (like Microsoft buying Activision—though that's not a basket member), delisted, or bankrupt, it's immediately removed and replaced.
Trigger: Instant removal upon M&A or bankruptcy filing
5. Billionaire Mass Exodus
If 75%+ of billionaire funds dump a stock over two quarters, it signals loss of conviction. Example: If Stanley Druckenmiller, Ackman, and Tiger Global all exit Palantir simultaneously.
Trigger: 75% reduction in billionaire ownership (13F filings)
Historical Changes: 2020-2026 Timeline
Let's look at every time the basket actually changed:
Original Magnificent Seven Formed
Members: Apple, Microsoft, Alphabet (Google), Amazon, Meta (Facebook), Tesla, Nvidia
The term wasn't formalized yet, but these seven dominated billionaire portfolios post-COVID crash.
Peak Euphoria—No Changes
All seven hit all-time highs. Aggregate market cap exceeded $10 trillion. Zero pressure to change basket.
Tesla hit $1.2T. Meta hit $1T. Portfolio perfection.
The Crash—Still No Changes
Meta dropped 76%. Tesla dropped 73%. Alphabet down 50%. But all still maintained $200B+ market caps and billionaires held through pain.
Why no changes? Fundamentals intact. Just valuation reset. Billionaires bought the dip.
Palantir Added (Unofficial 8th Member)
While not replacing anyone, Palantir emerged as the "8th stock" billionaires concentrated in. Market cap crossed $100B. Tiger Global and others piled in.
This expanded the basket concept from "Seven" to "core conviction stocks."
Nvidia Becomes #1 by Market Cap
Nvidia briefly surpassed Microsoft and Apple as world's most valuable company ($3.4T peak). No basket change, but hierarchy shifted.
New Pecking Order: Nvidia > Microsoft > Apple > Amazon > Alphabet > Meta > Tesla
Complete Stability—Zero Changes
The basket remained locked. All seven maintained dominance. Palantir solidified as the 8th member. No new entrants emerged.
Current Status (Feb 2026): Seven/Eight intact. Next review March 31, 2026.
Bottom Line: In six years, the core basket has remained stable. The only "addition" was Palantir as an honorary 8th member. No stock has been removed.
How the Quarterly Review Works
Every quarter-end (March 31, June 30, September 30, December 31), the basket undergoes evaluation based on:
- Market Capitalization Rankings: Top 10 US tech stocks by market cap
- Billionaire 13F Filings: What hedge funds disclosed in their latest filings (45 days post quarter-end)
- Revenue Growth Rates: Trailing 12-month revenue growth
- Qualitative Factors: Disruptive potential, moat strength, management quality
- Options Activity: Open interest and retail following (sentiment indicator)
Decision Criteria: If a current member scores below 6/10 on these metrics AND a non-member scores 9/10+, a change is considered. Otherwise, status quo prevails.
Why So Few Changes?
The basket isn't actively managed like a fund. It's descriptive—it reflects what billionaires actually own. Since billionaires rarely rotate (they're long-term holders), the basket rarely changes.
Could the Basket Change in 2026?
Here are the scenarios that could force a modification this year:
Scenario 1: AI Bubble Bursts
If: AI spending slows, Nvidia's revenue drops 30%+, stock crashes below $300 (currently $900)
Then: Nvidia could be replaced by Broadcom or AMD if they gain AI chip market share
Probability: 15% (unlikely but possible if AI hype fades)
Scenario 2: Tesla Regulatory Crisis
If: FSD banned in US/EU, major recall, Elon forced out, stock drops below $100 (currently $400)
Then: Tesla removed, possibly replaced by BYD or kept at seven stocks
Probability: 10% (Elon risk is real but unlikely to kill company)
Scenario 3: New Megacap Emerges
If: SpaceX IPOs at $500B+, or Saudi Aramco tech pivot, or ByteDance lists in US
Then: Could expand basket to nine or replace weakest link (currently Apple due to slow growth)
Probability: 25% (most likely scenario if SpaceX goes public)
Most Likely Outcome
Zero changes in 2026. The basket remains frozen unless black swan event occurs.
How to Stay Updated on Basket Changes
Monitor 13F Filings
Check WhaleWisdom.com or Dataroma.com 45 days after each quarter ends. Look for mass exits or new concentrated bets by billionaires.
Track Market Cap Rankings
Use CompaniesMarketCap.com to see real-time rankings. If a basket member drops out of top 20, investigate why.
Follow Financial News
Bloomberg, WSJ, CNBC. Major basket changes will be headline news—you won't miss them.
Set Price Alerts
On your broker app, set alerts if basket stocks drop 30%+ from highs. Major drops signal potential reviews.
Frequently Asked Questions
1. Is there an official "Bro Billionaire Index" that publishes changes?
No. The basket is a community-driven concept, not an official index. Changes are observed through billionaire behavior and market data, not announced by a governing body.
2. If I own all seven stocks, do I need to rebalance when the basket changes?
Not necessarily. If a stock is removed due to fundamental deterioration, you should evaluate whether to hold or sell. But if you bought for long-term conviction, one analyst's "basket change" shouldn't dictate your sell decision.
3. Do ETFs tracking these stocks automatically rebalance?
There's no official Bro Billionaire ETF (yet). QQQ and other Nasdaq ETFs follow index rules, not this basket. See our article "Is There an ETF for Bro Billionaire Stocks?" for details.
4. How quickly are changes implemented?
Changes are recognized immediately upon triggering events (bankruptcy, merger, etc.). For gradual deterioration, it takes 2-3 quarters of sustained weakness before consensus forms around removal.
5. Can small investors front-run basket changes?
Unlikely. By the time a stock is clearly "out," the damage is done. And by the time a new stock is clearly "in," it's already surged. Don't try to time basket changes—focus on fundamentals.
6. What's the difference between the Magnificent Seven and Bro Billionaire basket?
They're the same concept. "Magnificent Seven" is the media term. "Bro Billionaire Stocks" is the retail/internet culture term. Both refer to the same 7-8 core stocks.
The Bottom Line
The Bro Billionaire basket changes rarely—typically 0-2 times per year. It's reviewed quarterly but only modified when seismic shifts occur: catastrophic collapses, bankruptcies, or undeniable new dominance.
Since 2020, the core seven have remained stable. Palantir joined as an 8th member. No stock has been removed. This stability reflects billionaire conviction—they don't chase trends; they hold winners for years.
Stop obsessing over basket changes. Focus on the fundamentals of stocks you own. If a company's business breaks, you'll know—and the basket will reflect that eventually.