Is it really September this week? Believe it or not, it’s time for your weekly dose of all things financial to set you up for the trading week ahead. Today, we’re taking a look at the trendiest stocks, before dishing up all of the events you need to look out for this week. Let’s get to it!
No sign of slowing
FAANGT, FATANG, FANGAT, TANGAF — no, we’ve not gone totally crazy. Today, we’re going to take a look at the stock performance of the ‘big boys’ + Tesla, who’s almost a ‘big boy’ by most people’s yardsticks. FAANG was the old acronym, but we’ve added a ‘T’. Anyway, let’s see how the super 6 have been getting on.
1. Facebook (FB)
Stock price 02.01: 209.78 USD
Stock price 28.08: 293.66 USD
YTD High: 303.91 USD
YTD Low: 146.01 USD
YTD Change: +39.98%
FB Stock, YTD
Things are looking up for Facebook. The pandemic dented ads revenue quite heavily between March and May, but now that looks like old news.
The most encouraging thing for Facebook fans is the company’s recent lurch toward e-commerce. In May, Facebook partnered with Shopify and other e-commerce companies to launch Facebook Shops, a new online shopping platform. Last week, BigCommerce said it’s joining forces with Facebook to bring a new feature to Instagram that will allow users to purchase products without leaving the app. Nice!
2. Amazon (AMZN)
Stock price 02.01: 1,898.01 USD
Stock price 28.08: 3,401.80 USD
YTD High: 3,401.80 USD
YTD Low: 1,676.61 USD
YTD Change: +79.23%
AMZN Stock, YTD
Meteoric isn’t the word. Amazon (AMZN) continues to be a juggernaut. Its sales received a massive boost earlier this year from globally imposed lockdowns, as consumers were forced to buy online. A rise of 79% is phenomenal. And, it shows no sign of letting up.
Amazon’s diversification into other areas, like offering B2B web services (AWS) relied on by thousands of companies (not least Netflix!), shows the company’s aim to maintain its place at the top.
3. Apple (AAPL)
Stock price 02.01: 300.35 USD
Stock price 28.08: 499.23 USD
YTD High: 499.23 USD
YTD Low: 224.37 USD
YTD Change: +66.22
AAPL Stock, YTD
2020’s been a bumper year for Apple for sure. But the most interesting part is just about to happen. The four-for-one stock split that occurred at market close on Friday will shrink its stock price by up to 75%. The Cupertino-based company believes that the move will make its shares “more accessible to a broader base of investors.” Following the split, Apple shareholders will own four shares for every one they had prior.
Apple has split its stock 3 times in its history and, had it not, its stock would be trading at around 28,000 USD apiece today.
4. Netflix (NFLX)
Stock price 02.01: 329.81 USD
Stock price 28.08: 523.89 USD
YTD High: 548.73 USD
YTD Low: 298.84 USD
YTD Change: +58.85%
NFLX Stock, YTD
Netflix was one of the obvious beneficiaries of the lockdown period. With people forced to stay in, subscribers grew crazy-fast. The VOD giant added 26 million subscribers in the first two quarters of 2020 alone; while in 2019, the company added 28 million subscribers in total. Wow.
With a number of rivals in the space, Netflix doesn’t have it as easy as it once did. It does, however, appear to be holding its own and its stock price is reflecting that loud and clear.
5. Google (GOOGL)
Stock price 02.01: 1,368.68 USD
Stock price 28.08: 1,639.43 USD
YTD High: 1,639.43 USD
YTD Low: 1,054.13 USD
YTD Change: +19.78%
Just a modest 20% growth for Google this year. Advertising revenue slowed during the lockdown period, as many businesses went hush with less consumers. However, stimulus packages in March and also beating Q1s growth estimates gave a nice boost to stock prices.
GOOGL has now climbed out of the COVID-sized whole it experienced earlier in the year, and many analysts believe that it’s priced pretty fairly right now.
GOOGL Stock, YTD
Source: Umm… Google!
6. Tesla (TSLA)
Stock price 02.01: 430.26 USD
Stock price 28.08: 2,213.40 USD
YTD High: 2,213.40 USD
YTD Low: 361.22 USD
YTD Change: +414.43%
Okay, so Tesla is very definitely a ‘big boy’, right now. With a growth spurt of over 400% this year, 2020 has been one to remember for Elon Musk’s automotive juggernaut. The horizon looks good, too. With the increasing drive for greener, more efficient and less harmful means of transportation from businesses and consumers alike, Tesla is well-positioned to soar even higher.
TSLA Stock, YTD
This week’s market events
Here’s where you need to watch this week.
● China will announce its NBS Manufacturing PMI (CNY)
● Germany’s preliminary Inflation Rate figures (YoY) will be released (EUR)
● Australia’s RBA will state its Interest Rate decision (AUD)
● We’ll get an update on Germany’s unemployment situation (EUR)
● And the US will declare a couple of important PMI releases — the Markit Manufacturing PMI and the ISM Manufacturing PMI (USD)
● Australia’s YoY GDP Growth Rate (Q2) will be made public (AUD).
● Canada will announce its Balance of Trade (CAD)
● The Canadians will also give us an indication of their unemployment situation (CAD)
● Finally, the US will announce its oh-so-important non-Farm Payrolls and also give us an apprise of their unemployment figures (USD)
That’s it for this week’s trading preview. If you think your traders might be interested in analysis, outlooks or fun trading blogs, get in touch and let’s discuss your requirements.
The Contentworks team