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FAANG & Tesla - a fall from grace

Looking at FAANG, and my how things have changed this year.

Facebook (Meta)
- Zuckerberg pivots, company now has tough revenue questions. Very tough.
Amazon - in just the past few months, the FY earnings estimate for 2022 has fallen from $48 down to $16 per share. AMZN trades down at $2,100. The 2023 earnings estimate is over $53/share. But both keep falling. The bloom is off the rose, post Covid.
Apple -still solid. Earnings estimates are holding up fine, so far.
Netflix - traded at high of $700, now down at $166. Enough said.
Google - share price under $2,300 is well off the highs that topped $3,000 per share, but earnings estimates are sliding slowly so far. Good value or value trap?

Tesla's - priced at $734 today, well off the high of $1,243. Consensus earnings estimates have actually gone UP recently (to $12.3 and $16 per year for 2022 and 2023).

What's scary is that the Nasdaq could easily fall another 30% or more. Easily. That would mean some great bargains.

Comments

  • Facebook (and other social-media companies) blames Apple for part of its problems. Apple changed its default ad-settings from opt-out to opt-in. Google may be doing that soon for Android phones.

    Apple is also no longer #1 in global market-cap. https://www.cnbc.com/2022/05/11/saudi-aramco-surpasses-apple-as-the-worlds-most-valuable-company.html
  • Re Tesla:

    Following are edited excerpts from an article in this morning's Wall Street Journal:
    Last month, Tesla sold just 1,512 cars made at its Shanghai plant, down 94% from a year ago and far below the more than 65,000 it sold in March, according to data from the association.

    The impact rippled globally too as Tesla’s exports from China, where the company makes the Model 3 and Model Y, fell to zero. The company exported about a third of the cars it made in Shanghai outside of China last year.

    The electric-vehicle giant is struggling to get operations back into full swing despite reopening its Shanghai factory on April 19 after a 22-day suspension. Tesla made 10,757 cars at the plant in April, a fraction of normal output.

    On Tuesday, it cut daily output again to fewer than 200 cars because supplies of some key components were suspended, according to people familiar with the matter. Tesla had been aiming to boost capacity to 2,600 cars a day, the pre-lockdown level, by mid-May as more workers are released from lockdowns, the people said.

    Tesla didn’t respond to a request for comment.
  • @Old Joe,

    Ha! Remember back in the day....best signal to sell all your stock in a company was when on the quarterly love fest they said they had "a soft quarter due to the weather"...SELL...now it's "China"....SELL

    Not a recommendation, just a chuckle at this BS market...

    Let it flush, let it flush hard. Let housing flush hard. Reset and get back to reality.


    Baseball Fan
  • edited May 11
    Techs /Hi tech cars /luxuries cars may have big haircuts next 6 9 months

    $Bynd (luxury vegie meat) big dropped poor earnings...prob low demands...folks have limited $$ spend on luxuries these days

    Tsla near 6xx levels maybe good buys
  • @Old Joe,

    Ha! Remember back in the day....best signal to sell all your stock in a company was when on the quarterly love fest they said they had "a soft quarter due to the weather"...SELL...now it's "China"....SELL

    Not a recommendation, just a chuckle at this BS market...

    Let it flush, let it flush hard. Let housing flush hard. Reset and get back to reality.


    Baseball Fan

    I'm not sure that "reality" is possible any longer. Where I live (hint -- look at what I name myself) tech has warped values beyond all recognition, not to mention rationality. I'm not running for office around here but if I were my platform would be "evict tech." I'd get about three votes.
  • @sfnative- Well, two of those votes would be me and my long-suffering (so she informs me) beloved wife. Who do you suppose would be the other one?
  • @sfnative...I used to spend a lot of time in the Valley for business in the mid to late 90's...folks, meaning grown ups, were making things, real things, semiconductors, biotech, med device/tech etc, not fooling around like children designing a reality world where you could buy a house next to Snoop Dog.

    Really Meta/FB, WTF?! and you wonder why their stock price is dumping...to say no more of companies like Lemonade...buy insurance from a company with a name that a child would come up with, really? How's that stock doing?

    Then Carvana, overpaying for used cars, thus driving up prices everywhere...and put them in an eyesore vending machine tower? F me to tears. What's their stock price doing?

    How stupid can all this get? No really. oh, ya, let's invent more Pokemon bullshit so the man/woman children can walk around on their phones looking for little imagenery dudes in parks? Like I said, F me to tears. Canopy whatever the company is...let's sell weed, whee....that will help society....dumb asses..how's that stock doing?

    Let it dump, let these children grow up and let's live in a real world not some play time recess BS...metaverse. Sheet.


    Thanks for reading my rant, Good Luck to All,

    Baseball Fan
  • edited May 11
    Whoever said “Evict tech.” ??

    Yes. Those cumbersome old mechanical adding machines and clanky old typewriters did possess a certain charm I suppose. And just one phone tied to a wall in the house is all anyone ever needed. :)
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