In recent years, some investors have made the argument that the “Magnificent 7” stocks in the tech sector are all you need to tap into long-term gains. This list of mega-cap leaders includes Microsoft Corp. (ticker: MSFT), Apple Inc. (AAPL), Google parent Alphabet Inc. (GOOG, GOOGL), Amazon.com Inc. (AMZN), Facebook parent Meta Platforms Inc. (META), Nvidia Corp. (NVDA) and Tesla Inc. (TSLA). Collectively, those seven stocks add up to almost $20 trillion in market value — more than a third of the S&P 500’s total footprint.
Recently, Goldman Sachs analysts have made the argument that the Magnificent 7 is getting a bit stale as a group, however. Instead, they say the real opportunity lives in the so-called “Prom 10” of China. This list of 10 prominent leaders in the nation feels familiar to the Mag 7, in that the Prom 10 is tech-heavy and focused on similar applications like electric vehicles (EVs), artificial intelligence and digital commerce.
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Currently, the stocks amount to about $2 trillion in market value. But the leading investment bank has predicted an average growth rate of 13% annually over the next two years for the Prom 10 — hinting that there is ample headroom for China’s tech leaders to move into similarly dominant positions as their U.S. counterparts.
So, what stocks are in the Prom 10? Here’s the list, and a short rundown for those unfamiliar with some of these leading China stocks:
| Stock | Market Value | Year-to-date Return* |
| Alibaba Group Holding Ltd. (BABA) | $253 billion | 26% |
| ANTA Sports Products Ltd. (OTC: ANPDY) | $32 billion | 16% |
| BYD Co. Ltd. (OTC: BYDDY) | $150 billion | 34% |
| Jiangsu Hengrui Pharmaceuticals Co. Ltd. (600276.SSE) | $48 billion | 15% |
| Meituan ADR (OTC: MPNGY) | $96 billion | -21% |
| Midea Group Co. (OTC: MGCLY) | $77 billion | -11% |
| NetEase Inc. (NTES) | $85 billion | 49% |
| Tencent Holdings Ltd. (OTC: TCEHY) | $580 billion | 20% |
| Trip.com Group Ltd. (OTC: TRPCF) | $44 billion | 21% |
| Xiaomi Corp. (OTC: XIACY) | $20 billion | 65% |
*As of July 7 close.
Alibaba Group Holding Ltd. (BABA)
Market value: $253 billion Year-to-date (YTD) return: +26%
Alibaba is a familiar name for many U.S. investors, and a key component in the Prom 10. Shares in the company are up nicely in 2025, thanks to optimism around AI accelerating its e-commerce potential.
As the “Amazon.com of Asia,” Alibaba has a similar model to AMZN as a tech infrastructure leader on top of online retail. The organic growth of these business lines thanks to first-mover power in the region plus emerging AI business lines makes it quite an interesting play. Alibaba was admittedly on the outs with Beijing a few years back, and shares remain down sharply from their 2020 highs. But BABA has been riding a big bounce-back rally lately thanks to both improving relations with Beijing and the general outperformance of China as a region.
ANTA Sports Products Ltd. (OTC: ANPDY)
Market value:
$32 billion YTD return: +16%
Perhaps not as well known as its subsidiary brands, ANTA is collectively the world’s third-largest sportswear company behind Nike Inc. (NKE) and Adidas AG (OTC: ADDYY). Its portfolio of companies includes the separately listed stock Amer Sports Inc. (AS), which includes outdoor brands Atomic, Salomon and Arc’teryx Armada as well as racket sports leader Wilson, among others. Though listed on the “pink sheets” and not on a major U.S. exchange like the New York Stock Exchange or Nasdaq, this Chinese sports leader is the local stand-in for sports and leisure spending in the region.
BYD Co. Ltd. (OTC: BYDDY)
Market value: $150 billion YTD return: +34%
Chinese firm BYD is the top EV manufacturer in the world, outproducing even Tesla. In 2024, BYD sold a record-breaking 4.3 million vehicles, a jaw-dropping 41% increase over the prior year to show that it has plenty of room to continue growing. Given recent brand tarnish thanks to Tesla CEO Elon Musk’s political dealings as well as global trade disputes that are making it hard for foreign manufacturers to compete in China, it stands to reason that BYD will only tighten its grip in the years to come. Just keep in mind that like the previously mentioned ANTA, this is a China-listed company currently available to domestic investors only via OTC and not a major exchange. That means volume can be low, at only a few hundred thousand shares traded daily, which increases risk.
Jiangsu Hengrui Pharmaceuticals Co. Ltd. (600276.SSE)
Market value: $48 billion YTD return: +15%
Jiangsu Hengrui, a leading pharmaceutical manufacturer, is even more difficult for U.S. investors to purchase directly, as it is listed only in Shanghai and Hong Kong. That said, it is as impressive as many Big Pharma names more familiar to Americans and Europeans when it comes to revenue and scale. The company invests heavily in research, including unique cancer treatments, and recently opened R&D offices in the life sciences corridor of New Jersey as well as in Basel, Switzerland, to show its global ambitions. And from a structural perspective, Jiangsu Hengrui is a key component of the FTSE CSI A50 Index launched last year to provide a global benchmark for the 50 largest and most liquid A-share companies listed on the Shanghai and Shenzhen, China, stock exchanges. Just as the Magnificent 7 benefits from pride-of-place in most U.S. indexes, this pharma firm’s status on that shortlist of national leaders will give it institutional buying pressure beyond any Prom 10 buzz.
Meituan ADR (OTC: MPNGY)
Market value: $96 billion YTD return: -21%
Meituan — which translates to “beautiful group” — is a Chinese e-commerce portal for local products and retail services including digital movie tickets, food delivery, car and bike sharing, and other services. Think of firms like DoorDash Inc. (DASH) or Uber Technologies Inc. (UBER). One of the newest stocks on the Prom 10 list, it was founded in 2010 and only went public in 2018. The stock saw volatility after that Hong Kong listing, with a huge run over the first few years before the hype faded. However, the underlying operations of Meituan continue to grow as the firm continues its focus on reaching new customers with moves into Saudi Arabia and Brazil, as well as investments in new technologies.
[READ: 2025’s 10 Worst-Performing Stocks]
Midea Group Co. (OTC: MGCLY)
Market value: $77 billion YTD return: -11%
This Chinese appliance manufacturer is another stock that isn’t particularly easy for U.S. investors to buy despite its place on the Prominent 10. It is currently only listed on the Shenzen and Hong Kong exchanges, joining the latter trading venue just last year. However, that debut in Hong Kong was very successful, raising almost $4 billion for a firm that already has some 150,000 employees and revenue that places it in the Fortune Global 500. That shows Midea is a well-established firm and not just some risky emerging market startup. Like all consumer-facing companies, however, Midea faces cyclical pressures as sales for microwave ovens and other kitchen gadgets are closely tied to consumer confidence and housing market trends. But for those interested in playing the growth of China’s consumer class, Midea is a great way to do so.
NetEase Inc. (NTES)
Market value: $85 billion YTD return: +49%
Founded in 1997 and available to U.S. investors on the Nasdaq since 2000, NetEase is an accessible Chinese dot-com company that many domestic investors have run across over the years. The company develops and operates PC and mobile games, as well as advertising, email, music streaming and other digital services. It is the second-highest grossing gaming company in China, behind leading Chinese mega-cap and fellow Prom 10 stock Tencent. Up until Microsoft’s acquisition of video game publisher Blizzard, NTES operated the Chinese instances of the publisher’s titles like “Call of Duty” and “World of Warcraft.” While shares have been choppy since the end of that relationship, the partnership undoubtedly gave NTES great intelligence on what gamers like that will continue to serve the company well in the years ahead.
Tencent Holdings Ltd. (OTC: TCEHY)
Market value: $580 billion YTD return: +20%
Tencent is a competitor of Netease on video games, but also across a host of other business lines shared by Prom 10 companies. It is the most valuable company on the Prom 10 thanks to a diverse portfolio of popular products, including its WeChat messaging and payments app that boasts over a billion users, as well as its Tencent Cloud platform that is similar to Amazon Web Services, with some 10 million users across Southeast Asia. The most successful U.S. tech companies like Google and Apple have made a name for themselves by moving from one disruptive product category to the next, and Tencent is following the same playbook. That’s what really makes the analysts at Goldman excited about this Prom 10 stock, as the ceiling seems just as high for Tencent.
Trip.com Group Ltd. (OTC: TRPCF)
Market value: $44 billion YTD return: +21%
Trip.com is an online portal to book hotels, flights and other travel expenses that is similar to Western brands like Booking Holdings Inc. (BKNG). China’s consumers have been eager to spend on travel after the pandemic-related shutdowns of a few years ago, and this Shanghai-based firm has been cashing in as a result. What’s more, its increasing growth into home rentals along the same lines of Airbnb Inc. (ABNB) gives it potential to dominate this long-term growth market in the years to come.
Xiaomi Corp. (OTC: XIACY)
Market value: $20 billion YTD return: +65%
Last but perhaps most controversially on the list is Xiaomi, a major Chinese electronics and smartphone brand. Back in 2021, the U.S. Defense Department (DOD) argued that the company should be listed as a “Communist Chinese Military Company” and thus restricted from certain operations or business relationships because of national security risks — including selling securities to U.S. investors. A U.S. court subsequently blocked the ban, citing a lack of substantial evidence, and eventually Xiaomi was struck from the department’s list. All that said, the growth potential of this leading smartphone brand in Asia remains promising regardless of any legal or security concerns here at home. For Americans interested in tapping into the digital economy of China via hardware, Xiaomi remains a Prom 10 stock with promise.
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What Are the ‘Prom 10’ Stocks? Inside China’s Market Leaders originally appeared on usnews.com
