Two weeks ago, I issued a report to Peak Prosperity's premium subscribers, warning of an immiment downwards re-pricing of the FAANG stocks. I even made a rare recommendation for an active short position against them (one now up 18%).
That report proved quite timely. Over the past 10 days:
- Netflix (NFLX) is down 10% after issuing disappointing subscriber growth and Q3 guidance
- Facebook (FB) is down 20% after delivering lower user and revenue numbers than the Street was expecting
- Amazon (AMZN) is flat despite posting blowout Q2 EPS, offset by a revenue miss
- Google/Alphabet (GOOGL) has managed a meager 3% rise, as earnings & revenue beats were tempered by rising costs and a record $5 billion EU anti-trust fine
This sudden weakness among key FAANG members is extremely significant. Much more so than most investors realize.
from Peak Prosperity https://ift.tt/2Ahmzf1
