MFAANG – the decade in review

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Updated: March 22, 2021 by FinPins

What is MFAANG or FAANG?

FAANG stocks, you might have heard about them. They are a group of 5 tech stocks, namely Facebook, Apple, Amazon, Netflix, and Google. I like to include another tech giant in the group, Microsoft, and track them together as MFAANG.

So, why are these stocks famous and discussed very often? Because they have been leading the tech revolution for a while now.

mfaang

Live Stock Prices

MFAANG (Microsoft + FAANG) Snapshot

The six stocks in MFAANG have a combined market cap worth a staggering $7.5 TRILLION.

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MFAANG snapshot

MFAANG stock performance

Let’s evaluate the performance of these stocks in the previous decade, from Jan 2010 to Jan 2020.

STOCK% GAINS
Jan 2010 – Jan 2020
VALUE OF $1000 INVESTED
MSFT435%$ 5,350
FB470%$ 5,700
AAPL1027%$ 11,270
AMZN1364%$ 14,640
NFLX4541%$ 46,410
GOOG387%$ 4,870
Total
$ 88,240
SP 500188%$ 2,880

FB start price as of May 2012


$6,000 invested in M-FAANG stock at the start of the decade ($1,000 in each stock) would be worth a total of $88,240 in Jan 2020.

For comparison, investing $6,000 in S&P 500 in Jan 2010 would be worth $17,280 in Jan 2020.


MFAANG : MSFT STOCK

Microsoft Stock: From $30.66 to $165.04 in a decade

FAANG STOCK: FB STOCK

Facebook Stock: From $38.23 to $217.94 in less than a decade

AAPL STOCK

Apple Stock: From $28.25 to $318.31 in a decade

AMZN STOCK

Amazon Stock: From $127.14 to $1861.64 in a decade

MFAANG STOCK: NFLX STOCK

Netflix Stock: From $7.61 to $353.16 in a decade

FAANG STOCK: GOOG STOCK

Alphabet Stock: From $301.01 to $1466.71 in a decade

All images are screenshots from google finance

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Did you have any MFAANG stocks this decade? Let us know in the comment section below.

MFAANG 2020 YTD Performance

As of writing this section, Oct 19, 2020, let’s take a look at the 2020 Year to date performance of MFAANG stocks and how they compare against the S&P 500 and Nasdaq 100 Indexes. The best returns were on the Amazon stock (almost 69%) and the lowest return were on Alphabet (Google) stock (under 12%). Still, each MFAANG stock beat the S&P 500 returns (5.28%) YTD.

Stock / Index2020 YTD Returns
(as of Oct 19, 2020)
S&P 500 Index (ETF: SPY)5.28%
Nasdaq 100 Index (ETF: QQQ)31.29%
Microsoft (MSFT)33.37%
Facebook (FB)24.61%
Apple (AAPL)54.45%
Amazon (AMZN)68.98%
Netflix (NFLX)60.92%
Alphabet (GOOG)11.78%
MFAANG 2020 YTD returns
MFAANG vs SP 500
MFAANG vs SP 500

YTD chart image screenshots from google finance


MFAANG Earnings by service and product segments


Apple Earnings by Segment (in million USD)

Apple Quarterly Net SalesJul-Sep 2020  Jul-Sep 2019 
iPhone $ 26,444  $ 33,362
Mac9,032 6,991
iPad6,797 4,656
Wearables, Home and Accessories7,8766,520
Services14,54912,511
Total $ 64,698  $ 64,040
Apple Earnings by Segment

Microsoft Earnings by Segment (in million USD)

Microsoft Quarterly RevenueJul-Sep 2020  Jul-Sep 2019 
Productivity and Business Processes $ 12,319  $ 11,077
Intelligent Cloud12,986 10,845
More Personal Computing11,849 11,133
Total $ 37,154  $ 33,055
Microsoft earnings by segment

Amazon Earnings by Segment (in million USD)

[update Feb 2021]

Q4 FY 2020 Earnings: Net Sales $125.6 Billion

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Full Year FY 2020: Net Sales $386 Billion

Net sales increased 38% to $386.1 billion, compared with $280.5 billion in 2019. Excluding the $1.4 billion favorable impact from year-over-year changes in foreign exchange rates throughout the year, net sales increased 37% compared with 2019.

Operating income increased to $22.9 billion, compared with operating income of $14.5 billion in 2019.

Net income increased to $21.3 billion, or $41.83 per diluted share, compared with net income of $11.6 billion, or $23.01 per diluted share, in 2019.

– Amazon Investor Relations Website

Amazon Quarterly RevenueJul-Sep 2020  Jul-Sep 2019 
Net Product Sales$ 52,774$ 39,726
Net Service Sales43,37130,255
Total$ 96,145 $ 69,991

Is There an ETF for MFAANG?

While we could not find a readily available ETF to invest in the MFAANG stocks, the good news is you can easily create your own equivalent on M1 finance.

See the step by step tutorial on how to create a pie or portfolio on M1

Direct Access to MFAANG Pie on M1

Are There ETFs for Artificial Intelligence?

The MFAANG stocks have brought phenomenal returns for investors over the past few years. Do you believe the next phase of explosive growth would come from the companies working on Machine Learning and Artificial Intelligence? Here are some ETFs that you might want to look at.

ETFs for Artificial Intelligence

For more on ETFs, check out What is ETF?


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