FAANG now morphs into MATANA. Picture Getty
ASX Large Caps: Friday’s tech stocks rally, as FAANG now morphs into MATANA
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- Shares finished flattish on Friday, down almost 2% for the week
- Tech stocks gained today on the back of Nvidia frenzy
- Cathy Wood missed a big chance to ride the frenzy
Local shares retreated in the afternoon, and lost early gains driven by a rally in tech stocks.
The ASX 200 Tech index (XIJ) tracked Nasdaq higher and rose over 1% today, over performing all other sectors.
The rally has mainly been driven by renewed frenzy in AI tech stocks in the US, where Nvidia is poised to become a trillion-dollar company after recent gains.
The market believes that Nvidia has now entered the picture as one of the US tech titans.
“The days of talking of FAANG (Facebook, Apple, Amazon, Netflix, and Alphabet) have morphed into MATANA (Microsoft, Apple, Tesla, Alphabet, Nvidia, and Amazon),” said Oanda analyst, Edward Moya.
The Healthcare sector finished lower today as one of the sector leaders Fisher & Paykel (ASX:FPH) fell -6% on ex-dividend.
In economic news, ABS data released today shows retail sales remained flat in April. Sales were, however, slightly boosted with spending on winter clothings.
Cathie Wood missed her big chance
Meanwhile, it was revealed that Cathie Wood’s flagship Ark Innovation ETF dumped its holding of Nvidia just before the stock went on an AI frenzy.
According to publicly disclosed data, ARKK had held over 750,000 shares since August 2020, but cut that position to under 39,000 shares by November, before selling all of them completely in January.
Wood said in February that Nvidia was way overvalued.
“We like Nvidia, we think it’s going to be a good stock. It’s priced – it’s the ‘check-the-box’ AI company. “But for our flagship fund, where we’ve consolidated towards our highest conviction names, part of that [selling Nvidia stocks] has to do with valuation,” she told NCBC.
The Nvidia stock price has risen by 165% since January 1st.
BIG CAP WINNERS
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| Code | Name | Price | % Change | Volume | Market Cap |
|---|---|---|---|---|---|
| APM | APM Human Services | 2.01 | 8.06 | 1,163,534 | $1,705,958,420 |
| ABC | Adbri Limited | 2.04 | 4.62 | 3,141,353 | $1,272,623,732 |
| ALU | Altium Limited | 39.94 | 3.79 | 218,485 | $5,065,780,370 |
| IPL | Incitec Pivot | 3.05 | 3.74 | 6,265,677 | $5,710,141,585 |
| CGC | Costa Group Holdings | 2.63 | 3.54 | 1,128,076 | $1,180,362,874 |
| NXT | Nextdc Limited | 12.59 | 3.28 | 3,350,083 | $6,045,665,546 |
| MP1 | Megaport Limited | 6.64 | 3.03 | 1,928,700 | $1,020,247,984 |
| DMP | Domino Pizza Enterpr | 46.99 | 2.85 | 268,409 | $4,070,540,467 |
| NIC | Nickel Industries | 0.85 | 2.73 | 5,433,399 | $2,495,012,250 |
| FMG | Fortescue Metals Grp | 19.48 | 2.53 | 3,406,087 | $58,500,333,442 |
| CTD | Corp Travel Limited | 20.89 | 2.35 | 247,767 | $2,986,508,476 |
| TNE | Technology One | 16.67 | 2.27 | 672,500 | $5,290,452,402 |
| OCL | Objective Corp | 13.09 | 2.27 | 26,078 | $1,218,652,838 |
Among the tech gainers were data centre provider NextDC (ASX:NXT), which climbed 3%. Software maker Altium (ASX:ALU) also liefted 3%.
APM Human Services (ASX:APM) jumped 8% after announcing a $720 million contract to deliver Functional Assessment Services in London, South-East and East Anglia region over five years. The project has an option for an additional two-year contract extension, and is in line with the company’s strategy to drive organic growth through contract awards.
BIG CAP LOSERS
Swipe or scroll to reveal the full table. Click headings to sort.
| Code | Name | Price | % Change | Volume | Market Cap |
|---|---|---|---|---|---|
| FPH | Fisher & Paykel H. | 22.35 | -6.84 | 1,924,755 | $13,899,603,644 |
| CSR | CSR Limited | 5.06 | -5.42 | 1,285,035 | $2,554,002,190 |
| BFL | Bsp Financial Group | 4.89 | -4.68 | 2,000 | $2,396,838,492 |
| LFS | Latitude Group | 1.24 | -4.63 | 322,635 | $1,346,381,253 |
| SQ2 | Block | 90.57 | -4.57 | 66,961 | $2,842,019,492 |
| AX1 | Accent Group Ltd | 1.83 | -3.94 | 2,333,085 | $1,052,436,220 |
| ING | Inghams Group | 2.94 | -2.65 | 278,464 | $1,122,472,395 |
| GOZ | Growthpoint Property | 3.11 | -2.51 | 421,220 | $2,416,620,397 |
| RMS | Ramelius Resources | 1.31 | -2.42 | 3,431,686 | $1,323,668,012 |
| WHC | Whitehaven Coal | 6.26 | -2.34 | 7,208,250 | $5,598,288,617 |
| NHC | New Hope Corporation | 4.97 | -2.17 | 2,874,158 | $4,481,928,943 |
Latitude Group (ASX:LFS) fell 4% after issuing a profit warning and scrapped its interim dividend as a result of the cyberattack in March.
“We are still assessing the anticipated total cost of this incident, including the cost of the support and remediation provided to customers,” said the statement today.
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