FANG Stocks Check-In: The Best Bet Isn't The One You Think It Is

Tuesday's leader isn't even in question. On the heels of news that it was raising its prices, Netflix (NFLX) shares have jumped more than 7% today. Other FANG stocks are taking that lead, but none are even a close second. The next-biggest gain comes from Alphabet (GOOGL), though it's only up a little less than 3%.

Not all bullish thrusts are built the same, however. Indeed, not all FANG stocks are built the same.

FANG Stocks Compared

They're lumped together - Facebook (FB), Amazon (AMZN), Netflix and Alphabet - because they collectively represent the bulk of the so-called 'new economy.' That's a market that centers around the internet, and the technologies that bring out the best of the web. They each have moments better than their peers, enjoying them at different times. Over the course of the past year, Netflix has been the superstar... a role reprised of late, and on Tuesday in particular. Facebook, conversely, has been the group's poorest performer since the middle of January-2018, as the impact of the Cambridge Analytica scandal has taken root in other, unexpected ways. The graphic below tells the tale. [The red line plots the performance of the Nasdaq 100 Trust (QQQ), which acts as something of a baseline for these names.]

(Click on image to enlarge)

The sheer speed and strength of Netflix is almost intoxicating. But, as they say, the higher they fly, the farther they fall... something we saw evidence of during the latter half of last year. At the other end of the spectrum is Facebook, which was average through the first half of 2018 and subpar during the second half. The recent uptick is respectable, but far from enticing.

Take a look at each of these stocks through a different lens, however.

One at a Time

The graphic below charts each of the aforementioned five names. Of the five, only two have actually broken above long-standing resistance lines, and only one has done so in an ideal way. Netflix shares broke out today but left behind a gap that may be closed soon enough. The other? It's Facebook, which was consistently marched its way above the falling technical ceiling responsible for most of last year's decline.

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