Fang tech stocks: Meta and Netflix lose their bite

Investors treated the Fang tech stocks as almost identical, but two of them are much weaker than the rest, says Philip Pilkington.

Millie Bobby Brown
Netflix is betting big on a new series of Stranger Things
(Image credit: © Rachel Murray/Getty Images for Netflix)

Back in 2013, American financial pundit Jim Cramer, host of the Mad Money TV show, introduced investors to a new basket of stocks: the Fangs. These were the tech investments of the future, he said. They were called Fangs because they “take a major bite out of the bears”. Classic Cramer.

The original basket was Facebook, Amazon, Netflix and Google – hence the acronym. Apple was added to the list fairly soon afterwards, and Microsoft sometime later. There were also some name changes to upset the acronym. Google’s parent company became Alphabet in 2015; more recently, Facebook relaunched as Meta Platforms in 2021. But the term Fangs has stuck as a shorthand for a basket of companies best poised to take advantage of new technological trends.

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Philip Pilkington is a macroeconomist and investment professional. He is the author of the book The Reformation in Economics, and blogs at Fixing the Economists and on Twitter @philippilk