|Bid||134.17 x 1300|
|Ask||135.39 x 800|
|Day's Range||134.64 - 135.61|
|52 Week Range||107.06 - 151.58|
|PE Ratio (TTM)||N/A|
|YTD Daily Total Return||15.72%|
|Beta (3Y Monthly)||1.16|
|Expense Ratio (net)||0.52%|
Cisco Systems dampened investors' mood when it reported first-quarter fiscal 2020 results as it sparked fears of a slowdown in global tech spending with a bleak outlook.
As one of the vaunted FAANG (Facebook, Amazon, Apple, Netflix, Google) stocks, Netflix is subject to competition from one of its peers, but the online streaming giant is looking to up the ante in order to fend off the opposition. Netflix investors are decidedly nervous as companies like Apple, Disney and Amazon are looking to bolster their streaming businesses. Shares of Netflix have been climbing 10% higher the past two weeks, but the competition could threaten the rally.
Just like gamblers following the smart money, when factor investors want to know where the money is flowing and going, they look to momentum. It can be a key indicator of which exchange-traded funds (ETFs) can get a boost from increased activity—right now, Apple and Netflix are in the spotlight. “Momentum crowd money flows are extremely positive in Apple’s shares,” wrote MarketWatch analyst Nigan Arora.
Despite stiff competition, investors might want to capitalize on this Internet television network leader's subscriber growth and the upcoming surge in its share price with lesser risk in the form of ETFs.
Wall Street analysts are warning investors that disappointment could be forthcoming with streaming media giant Netflix when it comes time to report their third-quarter earnings. Per a CNBC report, analysts are “have begun expressing doubts about Netflix and warning the company’s coming quarterly earnings may disappoint yet again, just after the stock turned negative for the year. Pivotal Research Group cut its price target on Netflix shares by nearly a third on Tuesday, to $350 from $515.
Facebook came up with robust second-quarter 2019 results, wherein it beat estimates on both revenues and earnings. However, it warned of deceleration in revenue growth, more specifically in the fourth quarter.
Following its second-quarter earnings report, shares of Netflix were down as much as 11 percent after the online streaming company only added 2.7 million subscribers, which was almost half of the 5 million that analysts were expecting. Speaking on its fall in subscribership, Netflix cited the entrance of new competitors to the streaming space with Apple and Disney joining the fray.
Shares of Netflix were down as much as 11 percent after the online streaming company only added 2.7 million subscribers, which was almost half of the 5 million that Wall Street analysts were expecting. During its first-quarter earnings report, Netflix did address the entrance of new competitors to the streaming space with Apple and Disney joining the fray.
EBay Inc. shares are up 3 percent today after the company beat earnings expectations on Wednesday afternoon. Ebay reported second-quarter net income of $402 million, or 46 cents a share, compared with $642 million, or 64 cents a share, in the same period last year. EBay stock has been a top performer this year, gaining 39% this year, beating the S&P 500 index which is up 20%.
We have highlighted some investing ideas that could prove to be extremely beneficial for investors for the rest of the year in the current market environment.
The U.S. economy has stepped into the 11th year of the expansion, exhibiting the longest expansion in history. These winning ETFs and stocks will rally further.
Salesforce.com agreed to buy big data firm Tableau Software for $15.3 billion in an all-stock deal. This has put the spotlight on ETFs having large exposure to Salesforce.
Technology sector took a hit badly in yesterday's trading session on antitrust scrutiny concerns that wiped out more than $133 billion from the market value of the four technology giants.
Investors have elevated the FANG stocks to rock-star status. These names are internet darlings. Search FANG stocks on Google and you'll come up with over 6 million results. But investing in the hot stocks might not be the way to go.Source: Shutterstock After stellar returns in 2017, the FANG stocks lost steam in 2018. Find out why you shouldn't invest in FANG stocks now. What Are the FANG Stocks?Here are the FANG stocks and details about their current prices, valuation and estimates:InvestorPlace - Stock Market News, Stock Advice & Trading TipsF stands for Facebook (NASDAQ:FB). It's currently selling for $183.78 per share with a trailing-12-month price-to-earnings ratio of 24.3. Facebook's 52-week range is $123.02-$218.62 and its one-year projected price is $196.44.A stands for Amazon (NASDAQ:AMZN). It's currently selling for $1,923.77 per share with a trailing P/E ratio of 95.5. Amazon's 52-week range is $1,307.00-$2,050.50 and its one-year projected price of $2,073.55. * 10 Stocks to Sell Before They Give Back 2019 Gains N stands for Netflix (NASADQ:NFLX). It's currently selling for $381.89 per share with a P/E ratio of 136.4. Netflix's 52-week range is $231.23-$423.21 and its one-year projected price is $381.26.G stands for Google, also known as Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL), which is actually Alphabet, Google's parent company. It's currently selling at $1,264.55 per share with a P/E ratio of 28.9. GOOG stock's 52-week range is $970.11-$1,273.89 and its one-year projected price is $1,352.50.The FANG stocks have been internet favorites due to their increasing market share and explosive growth. But whether these internet stars will continue outperforming is debatable as their growth slows, competitive forces increase and regulations creep in. Beware of a Frothy MarketThe markets are into the tenth year of a running bull market. The current S&P 500 Shiller P/E or CAPE ratio of 31.08 is nearly double historical average of 16.61. This P/E metric compares the current S&P 500 index price with the 10-year average earnings per share (adjusted for inflation) to smooth out fluctuations in the business cycle data. Using the P/E ratio valuation, the overall market is pricey.After a quick scan of the one-year price estimates, you might think each of the FANG stocks has room to grow. Facebook even sports a modest (for tech stocks) P/E ratio of 24.3 and Alphabet's is a lowly 28.9.In contrast, the valuations of Amazon and Netflix are sky high with P/E ratios of 95.5 and 136.4 respectively.So, does this suggest that Facebook and Alphabet are undervalued? Not necessarily. There's a reason for their low-ish valuations. The FANG stocks face headwinds from many directions. The FANG Sizzle Is BurningBeware of the sizzle. There are regulatory and competitive attacks approaching the FANG stocks. Amazon, Google and Facebook are subject to the EU rules targeting unfair online ranking platforms under the Platform-to-business (P2B) law. In 2017, Google was penalized with a 2.42-billion-euro ($2.7 billion) EU antitrust fine -- and it was hit with another, this one 1.5 billion euros, earlier this year. Investigations are aggressively searching for unfair trade practices.Facebook and Google's data privacy practices are also under fire. CNIL, the French data protection watchdog, recently fined Google 50 million-euro ($56.33 million) for failing to provide users clear information regarding data use policies.Meanwhile, Netflix faces rampant competition from new streaming services along with growing debt.Then there's presidential hopeful Elizabeth Warren threatening to break up the FANG stocks.Investors love high-flying growth, but the bulk of that explosive expansion may be in the rearview mirror for these tech players. If so, then the FANG stocks will be expected to grow at the same rate as the market. What's a FANG Follower to do?If you can't quell your love of FANG, keep a small position or go with a fund that includes FANG stocks. Fortunately, due to their large market cap, any diversified U.S. stock fund will provide FANG exposure. For a more concentrated position, The First Trust Dow Jones Internet Fund (NYSEARCA:FDN) is a market-cap-weighted fund that tracks the performance of the Dow Jones Internet Index.Finally, maintain a diversified investment portfolio, across U.S. and world assets, in line with your risk comfort level. This research-supported investment approach is diversified and likely to match market returns and minimize investment volatility.Barbara A. Friedberg, MBA, MS is a veteran portfolio manager, expert investor, and former university finance instructor. She is editor/author of Personal Finance; An Encyclopedia of Modern Money Management and two additional money books. She is CEO of Robo-Advisor Pros.com , a robo-advisor review and information website. Additionally, Friedberg is publisher of the well-regarded investment website Barbara Friedberg Personal Finance.com . Follow her on twitter @barbfriedberg and @roboadvisorpros. As of this writing, she does not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 High-Yielding Dividend Stocks That Won't Wilt * 4 Energy Stocks Soaring as Trump Tightens on Iran * 7 Tech Stocks With Too Much Risk, Not Enough Upside Compare Brokers The post Why You Shouldnat Invest in the FANG Stocks appeared first on InvestorPlace.