Facebook (FB), Apple (AAPL) and Netflix (NFLX) are among the coolest and widely used tech companies. But their stocks have struggle to break through key levels in recent sessions. Facebook is trying to stay in sight of a buy point, while Apple and Netflix keep bumping into resistance at their 200-day moving averages.
Facebook A Buy, or Bye-Bye?
Facebook holds its big F8 Developer Conference on Tuesday and Wednesday, with analysts and investors eager to hear what Mark Zuckerberg has on offer.
The stock has formed a cup-with-handle base that started when it peaked at 117.59 on Feb. 2. The buy point was 117.09.
But Facebook is moving away from a buy area. Shares fell 2.7% on Friday and 4.7% for last week. Facebook fell 1.5% to 108.99 on the stock market today undercutting its 50-day moving average in above-average volume. That's a bearish signal for Facebook's stock.
Facebook users are posting less on the site, according to Friday reports that helped pushed the stock lower.
Get a better read on Facebook's stock health and how it stacks up vs. rivals at IBD Stock Checkup
Apple Looks To Break Above 200-Day
Apple rallied nearly 18% from its recent low of 92.39 on Jan. 28 to 108.66 on Friday but was still down 19% from its record high of 134.54 set in April 2015. Apple stock rose as high as 110.61 intraday Monday, making another run at its 200-day line, before settling for a 0.3% gain at 109.02.
On April 4, Apple rose above its 200-day line intraday for the first time since early October, but closed just below that key level. Last Wednesday it once again closed within 20 cents of its downward sloping 200-day moving average.
Apple recently released a new 4-inch iPhone SE along with a smaller iPad Pro. Both have gotten solid reviews, but neither is likely to be a huge blockbuster. Apple is expected to post its first year-over-year sales decline in years later this month. Sales may continue to struggle at least until Apple releases its iPhone 7 later this year.
Netflix Seeks To Rewrite Script
Netflix hasn't closed above its 200-day average since Jan. 20. Twice last week the stock crossed that technical line intraday but ended below that level. Netflix fell 1.1% to 102.68 Monday, its fourth straight modest loss.
On Friday, Wall Street analyst Richard Greenfield said Walt Disney (DIS) should buy Netflix. A Disney-Netflix deal would give the Mouse a leader in video streaming and provide a possible future leader in Netflix CEO Reed Hastings. That unsolicited advice didn't move Netflix's stock though.
Netflix is spending heavily on expansion and content. While revenue growth has been strong and consistent, profits have fallen for the last three quarters and aren't projected to rise until Q4 2017. But analysts are betting on powerful earnings growth from 2018-2021.
