Facebook Inc (NASDAQ:FB) shares have been on a steady decline for three of the last four trading days. As a result, the company has shed about $3 billion in market capitalization, which has fallen from $183.66 billion at the start of business on Monday to $180.73 billion at the close of business on Thursday.
Meanwhile, Amazon.com, Inc. (NASDAQ:AMZN) has been gaining today, is now in the top five tech stocks according to market cap, making it a contender to rise another spot and beat Facebook. Both companies’ gains over the last year or so have resulted in Oracle Corporation (NASDAQ:ORCL) being pushed out of the top five.
In April, Li Lu and Bruce Greenwald took part in a discussion at the 13th Annual Columbia China Business Conference. The value investor and professor discussed multiple topics, including the value investing philosophy and the qualities Li looks for when evaluating potential investments. Q3 2021 hedge fund letters, conferences and more How Value Investing Has Read More
And within this shuffle of tech stocks, one author has noticed a very interesting trend.
Facebook remains fifth biggest tech company
Currently Facebook Inc (NASDAQ:FB) is the fifth largest by market cap within the tech industry. Apple Inc. (NASDAQ:AAPL) continues to hold the top spot with a market cap of around $470.45 billion. Google Inc (NASDAQ:GOOG) is in second place at $397.16 billion, while Microsoft Corporation (NASDAQ:MSFT) holds third place at $314.52 billion. International Business Machines Corp. (NYSE:IBM) is in fourth place with a market cap of $191.2 billion.
Facebook Inc (NASDAQ:FB) remains in fifth place at $173.35 billion, while Amazon.com, Inc. (NASDAQ:AMZN) is nipping at the social networks heels with a market cap of $173.03 billion. In fact, by the time you read this, Amazon may have passed Facebook.
Oracle Corporation (NYSE:ORCL), meanwhile, has dropped two slots into seventh place, with a market cap of around $169.64 billion.
Facebook passed Oracle last month
Facebook Inc (NASDAQ:FB) hasn’t been beating Oracle Corporation (NASDAQ:ORCL) for very long. The social network’s stock soared 150% over the last 12 months, taking its market cap up over that of Oracle and putting it in the top five for tech stocks in February. Amazon.com, Inc. (NASDAQ:AMZN)’s passing of Oracle actually happened at some point within the last 24 hours.
As John Shinal, writing in USA Today, notes, the fact that both Facebook Inc (NASDAQ:FB) and Amazon.com, Inc. (NASDAQ:AMZN) have surpassed Oracle Corporation (NYSE:ORCL) in market value is particularly interesting because it shows a shift within tech stocks. Wall Street seems to be moving away from its favoritism of enterprise-focused tech companies and shifting toward consumer-focused ones.
Interesting shift in tech stocks
Of course we still have legacy stocks Microsoft Corporation (NASDAQ:MSFT) and International Business Machines Corp. (NYSE:IBM) in the top five. IBM is also extending its lead over Facebook Inc (NASDAQ:FB), as at the beginning of the week, its market value was $12 billion more than Facebook’s, and now it’s $18 billion more.
However, Google Inc (NASDAQ:GOOG) and Facebook Inc (NASDAQ:FB) are both in the online advertising industry, while Apple Inc. (NASDAQ:AAPL) is a consumer-focused device company. Amazon.com, Inc. (NASDAQ:AMZN)’s movement up on the list is further indication of a shift toward consumer-oriented tech stocks.