Speculators who bought high-flying clean energy, solar energy, or software stocks listed on the NASDAQ exchange should turn to FAANGM stocks instead.
Among FAANGM: Facebook (NASDAQ:FB), Amazon (NASDAQ:AMZN), Apple (NASDAQ:AAPL), Netflix (NASDAQ:NFLX), Google (NASDAQ:GOOGL), and Microsoft (NASDAQ:MSFT) are the reason for the NASDAQ’s strength. Netflix is the exception after its quarterly subscription growth lagged.
Facebook is an advertising machine. Its Facebook site is addictive. Users cannot leave it. Those who do are of the younger demographic and migrate to Instagram, owned by Facebook.
Amazon’s market share keeps expanding. Its grocery business is a hybrid model for having a storefront and an online presence.
Apple is a stock to hold forever. Its iPhone is a cash-generating machine. After the iPhone mini failed, by accounting for an estimated below 5% of sales, it still posts strong results.
Google, which owns YouTube, is like Facebook: an advertising machine. Google continues to attract advertisers since its search engine is unmatched by any rival.
Microsoft’s strong earnings report posted on April 27 re-affirms the growth ahead. The stock dipped on profit-taking recently. This creates another buying opportunity.
Which is the best stock to own? Each of those stocks has its unique strengths. All but Netflix are stocks to accumulate today.
Tech Insider
