Should Investors Be Watching These Top FAANG Stocks In The Stock Market Today?
It’s no surprise that FAANG stocks have been beaten down in the stock market so far this year. Between rising inflation and increasing interest rates, FAANG stocks have had a rough start to the year, to say the least. For the uninitiated, FAANG stocks are the acronym for five of the most popular tech stocks in the market, comprising Meta Platforms (NASDAQ: META), Amazon, Apple, Netflix (NASDAQ: NFLX), and Alphabet Inc. (NASDAQ: GOOG). Additionally, FAANG stocks have significantly outperformed the overall stock market for years.
As a result, many investors believe that FAANG stocks will continue to be major players in the tech industry for years to come. While there is no guarantee that FAANG stocks will continue to perform well, many investors believe that these five companies are poised for continued success. If you’re keen on investing in FAANG stocks today, here are two top stocks to watch in the stock market today.
FAANG Stocks To Invest In [Or Avoid] Right Now
Amazon (AMZN Stock)
First up, Amazon.com Inc. (AMZN) is an American multinational technology company with headquarters in Seattle, Washington. The company focuses on e-commerce, cloud computing, digital streaming, and artificial intelligence. In addition, AMZN has a broad range of products and services to compliment its online retail offerings. Most notably, Amazon has also developed a number of services to accompany its online retail offerings, such as Amazon Prime and Amazon Web Services. Just last month, the tech bemeoth announced its Q2 2022 financial results.
In detail, AMZN posted a earnings per share of $0.10, along with revenue of $121.2 billion. This is versus analysts’ consensus estimates for the quarter of earnings per share of $0.15, with revenue of $119.5 billion. What’s more, Amazon also announced upbeat guidance for the third quarter of 2022. In the letter to shareholders, it projects third-quarter revenue between the range of $125.0 billion to $130.0 billion.
Furthermore, this month Amazon announced they entered into an agreement to acquire iRobot. In detail, the company will acquire iRobot for $61 per share in an all-cash transaction valued at nearly $1.7 billion. Year-to-date, shares of AMZN are still down over 23%, which could present an opportunity for investors to buy AMZN stock at a discount. With that being said, do you think AMZN stock is a buy for your long-term portfolio now?
Apple (AAPL Stock)
Next up, Apple Inc. (AAPL) is an American multinational technology company based in Apple Park, Cupertino, California. The company designs, develops, and sells consumer electronics, computer software, and online services. Some of the most popular products the company produces include the iPhone, the iPad, the Mac personal computer, Apple Watch, and Apple TV, among others. Similar to Amazon, Apple also posted its most recent quarterly financial results in July.
Diving in, Apple notched earnings of $1.20 per share, with revenue of $83 billion. For context, this is compared with consensus estimates of earnings of $1.14 per share, on revenue of $82.4 billion. Meaning, AAPL reported better-than-expected third-quarter financial results. Moreover, Apple reported it projects Q4 revenue to be greater than $84.92 billion. Additionally, the company’s board of directors have declared a cash dividend of $0.23 per share of the Company’s common stock.
Luca Maestri, Apple’s CFO commented in their letter to shareholders, “Our June quarter results continued to demonstrate our ability to manage our business effectively despite the challenging operating environment. We set a June quarter revenue record and our installed base of active devices reached an all-time high in every geographic segment and product category. During the quarter, we generated nearly $23 billion in operating cash flow, returned over $28 billion to our shareholders, and continued to invest in our long-term growth plans.” On Monday, shares of AAPL stock are trading at $161.38 per share. Given all of this, is Apple stock a top FAANG stock to buy today?