Even the best of things have to come to an end at some point. That is what owners of various FANG stocks are thinking right now. They had once been able to put their full faith in their favorite FANG stocks to carry their whole portfolio higher and higher for them, but that is not really the case anymore.
For those who don’t know, FANG stands for Facebook, Apple, Netflix, and Google. These are the giants of industry that are frequently responsible for a decent percentage of the overall gains of the NASDAQ index during certain periods of time. They are massive companies that are cornerstones of how the country operates. It is understandable that a lot of people put their money into these companies. They know that they are very likely to continue to grow strongly into the future.
Here lately the FANG stocks have been in a bit of a slump though. Part of this may just be the fact that the market as a whole has gotten itself into a slump. Another part of this comes down to individual mistakes made by each and every one of these companies though. We are now going to take a look at some of those mistakes as outlined by Forbes.com.
Facebook Major problems with the news out that they have had some data leaks that caused user data to be mined by Cambridge Analytica, a firm that has connections to the Donald Trump for President campaign. The company was not that quick to respond to the criticisms but lately has sent their founder and CEO Mark Zuckerberg to Capital Hill to talk about the problems.
Apple Even though Apple has a strong grip on the market share that they have established over a long period of time many are worried that they don’t have the creative spirit that they once did. The death of Steve Jobs a number of years ago hasn’t helped matters.
Netflix This company has seen a lot of competition creeping in from the likes of Disney and others. That could be bad news for their future earnings.
Google Still a strong company but with a lack of innovation similar to Apple some are wondering if their earnings will continue to grow.
Each one has its own unique set of problems. They may overcome them and provide an excellent buying opportunity for investors in the meantime, but we just don’t know yet.