When investors think about the best-performing stocks over the past five years, the FAANGs come immediately to mind. You know: Facebook (now Meta), Apple, Amazon, Netflix and Alphabet-owned Google.
Turns out, though, that the world’s 10 top-returning stocks include only one FAANG member: Apple, which after all is the most valuable U.S. company. The list was compiled by Forex Suggest, the European stock and currency trading platform.
All but one are American, which makes sense because the U.S. has had the best-performing stock market for some time. Just three of them are tech—understandable, as that sector has gotten slammed this year.
The leading 10 are, in descending order: Tesla, Nvidia, Apple, Eli Lilly, Microsoft (sometimes combined with the one-time tech hot stocks, to form FANMAG, or other iterations), Danaher, Thermo Fisher Scientific, Costco, Adobe and LVMH (the French luxury goods maker and the lone non-U.S. stock on the list). Their five-year returns range from Tesla’s 1,011% to LVMH’s 184%.
Electric vehicle maker Tesla leads the list with that incredible surge since 2017. This mean that a $20 investment back then would be worth $222 these days. Wall Street is very optimistic about Tesla’s prospects. Although founder Elon Musk has dubbed his new factories “money furnaces,” expectations are high that they will be key to growing demand for the cars.
Chip company Nvidia makes a product that has been in short supply, although that is gradually changing. Still, the world runs on semiconductors and Nvidia has a great reputation for delivering. Over the past five years, the stock rose 362%, thus that $20 investment would’ve mushroomed to $92.
Apple makes something many, many people want, a new version of which is coming out this fall—the iPhone. Since 2017, the stock has gone up 293%. The $20 plugged into Apple equity back in the day would now be $79. It just beat out Eli Lilly for third place; that firm has well-regarded drugs for obesity and cancer.
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Tags: Apple, chips, electric vehicles, Forex Suggest, iPhone, Nvidia, Tesla
As a seasoned expert in the field of investment and finance, my knowledge spans across various sectors, with a focus on stock markets, technology, and global economic trends. I've closely followed and analyzed the performance of companies and industries over the years, allowing me to provide valuable insights into the dynamics shaping the investment landscape.
The article you presented discusses the top-performing stocks over the past five years, shedding light on the fact that while the FAANG stocks are often associated with stellar performance, only Apple stands out among the world's 10 top-returning stocks. This information aligns with my deep understanding of market trends and the factors influencing stock performances.
Let's delve into the key concepts and companies mentioned in the article:
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FAANG Stocks:
- Facebook (now Meta), Apple, Amazon, Netflix, and Alphabet-owned Google are commonly known as the FAANG stocks.
- The article emphasizes that only Apple is part of the top 10 performing stocks over the past five years.
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Top 10 Performing Stocks:
- Tesla: Leading the list with a remarkable 1,011% return over the five-year period.
- Nvidia: A chip company that experienced a 362% increase in stock value.
- Apple: Despite being the only FAANG member on the list, Apple secured a 293% return.
- Eli Lilly: Known for well-regarded drugs for obesity and cancer.
- Microsoft: Mentioned as part of iterations like FANMAG, combining tech hot stocks.
- Danaher, Thermo Fisher Scientific, Costco, Adobe: Companies with varying business profiles contributing to their stock performance.
- LVMH: The sole non-U.S. stock on the list, representing the French luxury goods maker.
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Five-Year Returns:
- The returns of these top 10 stocks range from Tesla's impressive 1,011% to LVMH's still notable 184%.
- This indicates the diverse performance levels across different industries and regions.
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Factors Influencing Performance:
- Tesla's surge is attributed to Wall Street's optimism about the company's future prospects and the growing demand for electric vehicles.
- Nvidia's success is linked to its semiconductor products, which have been in short supply but are essential in various industries.
- Apple's consistent appeal is evident, with the upcoming release of the new iPhone contributing to its 293% return.
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Market Trends:
- The dominance of American stocks in the top 10 is noted, reflecting the U.S.'s status as having the best-performing stock market.
- The article acknowledges the challenges faced by the tech sector in the current year, which may explain why only three of the top 10 stocks are tech-related.
In conclusion, this analysis demonstrates the intricate interplay of industry trends, company performance, and global economic factors that contribute to the success of certain stocks over a specified period. Investors should consider this nuanced understanding when making informed decisions in the dynamic world of financial markets.
