FAANG is the acronym for the tech giants Facebook, Amazon, Apple, Netflix and Google.
In 2019, the total revenue from these five tech companies amounted to a staggering $674 billion.
To put that into context, if FAANG were a Country, it would be the 10th biggest economy in the world just behind Canada.
What are FAANG stocks?
FAANG stocks are public shares traded for Facebook (FN), Amazon (AMZN), Apple (AAPL), Netflix (NLFX) and Google(GOOGL).
Table of Contents
How Do The FAANG Companies Compare?
Facebook Information and Market Cap
|Products And Services:||Facebook, Instagram, Whatsapp, Oculus, Facebook Business, Facebook Games, Facebook Live, Facebook Marketplace, Facebook Messenger, Facebook Portal|
|Company Competitors:||Amazon (advertising), Apple , Google (advertising), Linkedin, Microsoft, Pinterest, Tencent (social media), TikTok, Twitter, YouTube|
Facebook Revenue and Net Income Report
Facebook is the 4th largest company out of the FAANG group but the third most profitable. After Google, it also has the largest number of users.
The Facebook business model is based on the hidden revenue model. In other words, Facebook users use the platform for free in exchange and advertisers pay to be able to promote products/services to users.
Amazon Information And Market Cap
|Products And Services:||Amazon.com, Amazon Echo and Alexa, Amazon Kindle, Amazon Music, Audible, Amazon AWS, iMDb, Junglee, PillPack, Twitch, Whole Foods Market, Zappos.com|
|Company Competitors:||Alibaba, Apple Music & Apple TV, Costco, ebay, Google Play, JD (Jingdong), Netflix, Otto, Flipkart, Wallmart|
Amazon Revenue And Net Income Report
Amazon is the eCommerce giant and has the largest turnover out of the FAANG stocks. However, it principally sells third-party products and hence makes less margin than those companies that sell their own products e.g. Apple.
Apple Information And Market Cap
|Founders:||Steve Jobs, Steve Wozniak, and Ronald Wayne|
|Annual revenue:||(FY 2019): $260.17 Billion|
|Profit | Net Income:||FY 2019: $ 55.25 Billion|
|Market Cap:||(Feb, 2020): $1.19 Trillion|
|Company CEO:||Tim Cook|
|Headquarters:||Cupertino, California, USA|
|Number of employees:||(FY 2019): 137,000|
|Type of business:||Public|
Apple Revenue And Net Income Report
Apple is the second largest of the FAANG group by revenue but the largest by net income. The Apple business model has changed from a pure product company to a product and service offering.
Netflix Information And Market Cap
|Products And Services:||Video On Demand,|
Netflix Revenue And Net Income Report
Unlike many of the other FAANG members, the Netflix business model hasn’t changed over time.
Google Information And Market Cap
|Company name:||Google (A subsidiary of Alphabet Inc.)|
|Founders:||Larry Page, Sergey Brin|
|Annual revenue:||$161,857 million|
|Profit | Net Income:||$34,343 million|
|Market Cap:||$1,051 billion(10th February, 2020)|
|Company CEO:||Sundar Pichai|
|Headquarters:||Mountain View, USA|
|Number of employees:||118,899 Full Time Employees (Dec, 2019)|
|Type of business:||Public|
|Ticker symbol:||GOOGL(Class A) and GOOG(Class C)|
|Products And Services:||Android, Chromecast, FitBit, Google Ads, Google Cast, Google Chrome, Google G-Suite, Google Pay, Google Pixel, Google Play, Google Music, Nest, Wear OS, YouTube|
Google Revenue And Net Income Report
The Google business model is still dominated by its huge advertising revenues. However, they are investing heavily in ‘other bets’ that may yet see new revenue streams and growth in the future.