"Four mega-cap companies proved they can withstand a global economic slowdown, super-high inflation and a massive rise in interest rates." -- Futurum Research's Daniel Newman
From Newman's "The FAANMGs have been whittled down to the fantastic four" posted Monday by MarketWatch:
The anticipation of second-quarter Big Tech earnings was palpable...
It was a mixed bag of results that perhaps left as many questions as answers. But in short, this quarter’s big wave of tech earnings made it abundantly clear. Based on a combination of the right products, the right markets and unfettered demand that vastly outstrips any global economic distress, certain companies are too important to be hampered by the slowdown.
The following four companies have the ingredients that will make them too important to fail and, therefore, should remain long-term outperformers — even when the tech trade is unpopular...
A new iPhone is always a good thing for Apple. And Taiwan Semi’s TSM, -1.66%earnings comments should have been enough to indicate that Apple would do just fine. The weaker iPad and Mac numbers align with a broader consumer and PC market pullback. However, even with the alarm bells raised by Apple due to continued China shutdowns, Apple, once again, delivered. With margins exceeding expectations and services revenue now reaching almost $20 billion this quarter, Apple is also showing its strength isn’t just in its devices. The service portfolio, along with its growing content business, is working. And the guidance provided by CEO Tim Cook was “pedal to the metal” in so many words — which should have given investors something to smile about heading into the next quarter.
My take: FAANG had already outlived its usefulness (Netflix?). FAANMG was destined to never catch on, and I don't have much hope for the "Fantastic Four."