by Fred Fuld III
Do you remember what the FAANG stocks are, or were?
Facebook (FB) (META), Amazon (AMZN), Apple (AAPL), Netflix (NFLX), and Google (GOOG) (GOOGL).
Jim Cramer created the FANG acronym back in 2013 for Facebook, Amazon, Netflix, and Google, because he said that these tech stocks were “totally dominant in their markets“.
However, in 2017, he added Apple due to its growth, adding an extra A to the acronym, changing it to FAANG.
Yet, several changes have taken place since then. First, Facebook has changed its name to Meta,along with its symbol, so the letter M has to be used in the acronym.
Second, Netflix is not really a tech stock. It is actually considered an entertainment company in the communications services sector. Plus, many investors no longer consider it a growth stock if you look at the return over the last few years.
Just in the last twelve months, Netflix has dropped over 61%. If you had bought the stock at the beginning of 2018 and held it, you would have barely broken even. If you had bought in in 2019, 2020, or 2021, and held it, you would have a good size loss.
Finally, even though Google changed its name to Alphabet, nobody calls it that, and the company is still keeping the same stock ticker symbols beginning with the letter G.
So that gives us Meta, Amazon, Google, and Apple as the leading tech stocks.
Or to abbreviate it, MAGA.
Now that should be easy to remember.
Disclosure: Author owns MSFT, AAPL and AMZN.
MORE POPULAR STOCK LISTS OF INTEREST