Do You Have These FAANG Stocks On Your List Of Trending Stocks To Buy Ahead Of May 2021?
When it comes to the question of “what are the best stocks to invest in?”, FAANG stocks likely come to mind. Understandably, this is because the FAANG stocks are the most prominent U.S. tech companies on the stock market today. For the uninitiated, F.A.A.N.G stands for Facebook, Amazon, Apple, Netflix, and Google (Alphabet). Sure, as some of the biggest names in tech now, many would consider the FAANGs top growth stocks. After all, as our world grows increasingly reliant on tech, these companies continue to benefit. This would be the case given that they can stay relevant in their respective markets. While the broader tech industry shakes off losses from selloffs earlier this year, could FAANG stocks be worth investing in?
For one thing, CNBC’s Jim Cramer believes so. Just last week, Cramer argued that investors could view the current deceleration of FAANG stocks in 2021 as an opportunity. In turn, he had this to say “Rather than saying it’s dead, take a look at it and maybe buy one. I see real growth in FAANG + M [Microsoft (NASDAQ: MSFT)]” Moreover, the Mad Money host also highlighted how Netflix (NASDAQ: NFLX) remains a viable option even today. This is thanks to Netflix’s performance in key metrics such as viewer engagement, possibly translating to long-term growth potential. All in all, I can understand if the current valuations have investors looking for the best FAANG stocks to buy. Could one of these stock market movers be worth adding to your portfolio now?
Top FAANG Stocks To Buy [Or Sell] This Week
- Alphabet Inc. (NASDAQ: GOOGL)
- Facebook Inc. (NASDAQ: FB)
- Apple Inc. (NASDAQ: AAPL)
- Amazon.com Inc. (NASDAQ: AMZN)
Alphabet is a multinational conglomerate that is headquartered in California. Its businesses include Google Inc. and a plethora of internet products. This would include Waymo, Access, and Calico among others. Specifically, its Google segment includes Search, Ads, YouTube, and Chrome, used by billions all over the world. GOOGL stock currently trades at $2,390.48 as of 11:38 am. ET and has been up by over 30% year-to-date. Yesterday, the company announced its first-quarter financials for 2021, much to investor delight.
Firstly, it posted a revenue of $55.3 billion, a 34% increase year-over-year. The majority of its revenue came from its Google advertising segment, which contributed a whopping $44.68 billion for the quarter. Given how many people now depend on Google for its services, it’s no surprise that the company has reported yet another impressive quarter.
If anything, the total revenue of $55.3 billion in the first quarter reflects elevated consumer activity online and broad-based growth in advertiser revenue. Secondly, it reported a net income of $19.93 billion or a diluted earnings per share of $26.29. Given the impressive financials, will you consider buying GOOGL stock?
Facebook is a technology conglomerate that is based in California. The company’s products and services include Facebook, Instagram, WhatsApp, and Oculus. On one hand, Facebook allows people to connect, share, discover, and communicate with each other on mobile devices and personal computers. On the other, it is a platform that can help businesses and companies grow. Given how social media has continued to shape a generation, Facebook has become one of the world’s most valuable companies. FB stock currently trades at $306.94 as of 11:39 a.m. ET. Also, the company will be reporting its first-quarter 2021 earnings after today’s closing bell.
As more people and businesses have continued to use its services during the pandemic, Facebook continues to enjoy continuous growth. In its latest financials reported in January, the company posted a revenue of $28.07 billion for the quarter. This was a 31% increase year-over-year. Impressively, the company’s daily active users increased to 1.84 billion at the end of the year, an increase of 11% year-over-year. The company also ended the year 2020 with $61.95 billion in cash. With so much going on for the company, will you consider buying FB stock?
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Apple is a tech company that designs and markets a portfolio of tech products and services. In detail, it sells mobile communication and media devices and also related software, services, and applications. It owns one of the world’s largest music retailers, iTunes Store. Apple also boasts more than 1.65 billion Apple products actively in use worldwide. It also has a high level of brand loyalty and is ranked as one of the most valuable brands in the world. AAPL stock currently trades at $134.01 as of 11:39 a.m. ET and is up by over 85% in the last year.
The company will report its fiscal second-quarter results after the market closes today as well. Will this be yet another record quarter for the company? In January, it reported all-time record revenue of $111.4 billion for the quarter, up by 21% year-over-year. The company also posted a diluted earnings per share of $1.68, a 35% increase year over year.
“Our December quarter business performance was fueled by double-digit growth in each product category, which drove all-time revenue records in each of our geographic segments and an all-time high for our installed base of active devices,” said Luca Maestri, Apple’s CFO. All things considered, will you buy AAPL stock?
Last but definitely not least, we have one of the biggest names in e-commerce today, Amazon. Aside from its digital commerce empire, Amazon is also a prominent player in the cloud computing, digital streaming, and artificial intelligence industries as well. Not to mention, the company has also been hard at work expanding its healthcare offerings via Amazon Care. The likes of which currently boast an FDA-approved COVID-19 test kit. Not only is Amazon’s portfolio diverse, but the company also delivers on most fronts. With the company set to report earnings after tomorrow’s closing bell, I could see investors eyeing AMZN stock right now.
Wall Street’s consensus estimates project earnings of $9.54 a share on revenue of $104.5 billion this quarter. Should this be the case, the company would be looking at a year-over-year revenue surge of about 38.5%. Rosy analyst calls aside, Amazon has also been busy refining its e-commerce services. As of yesterday, the company is planning to expand its In-Garage Grocery Delivery (IGGD) services to over 5,000 U.S. locations.
Seeing as this primarily benefits Amazon Prime subscribers, this marks an excellent play by Amazon. This is because IGGD allows the company to deliver groceries securely and conveniently to consumers in their garages. Namely, it appears to be focusing on member retention in the long run. Given Amazon’s current momentum, would you consider AMZN stock a buy?