Horizontal bar chart of 10 largest market cap losses and bar mekko chart of tech company stock performances

A Rough Quarter for Some Tech Stocks

Technology stocks have been the talk of the earnings season. 3 of the 4 FANG (Facebook, Amazon, Netflix and Google) internet stocks have declined since their earnings release as shown in the bar mekko chart below.  We shared Netflix’s quarterly subscriber numbers when they released earnings on July 16. The stock fell immediately after and has yet to recover. It’s down 15.5% over the past two weeks. Microsoft, on the other hand, released strong earnings on July 19 (see this income statement cascade chart from last week) and the stock has posted a 1.8% gain.

Google’s earnings release on July 23 showed better than expected earnings, driven largely by its search business. The stock is up 2.3%. Facebook was next to release earnings and it recorded the largest single daily market cap loss on July 26 as shown in the horizontal bar chart below. The stock is down 21% in the last week.  Amazon posted solid earnings, but the stock was still down slightly.Apple was the last to release earnings on July 31. iPhone sales were flat, but the Average Selling Price was up, resulting in 40% increase in EPS. The stock gained 5.9% in its first day of trading after the earnings release.

Horizontal Bar Chart

This chart shows the top 10 largest daily losses in market capitalization for publicly-traded stocks. Statista published a chart with this data last week and I liked it because it gives you a sense of the significance of Facebook’s $119B decline. Note that 4 of the 10 largest daily losses have occurred in 2018.

Horizontal bar chart of largest market cap declines

How I Created The Horiztonal Bar Chart

  • I entered the data into an Excel spreadsheet.
  • I inserted a horizontal bar chart into the slide and pasted the data in from Excel.
  • I used Switch Bars and Series to get the proper data structure for the bar chart.
  • Under Bars and Series, I made the date bar a data column.
  • Using Format Chart, I formatted the bar totals to show as $B.
  • I added an axis title and hid the axis lines for a cleaner look.
  • I recolored the bars by right clicking on a bar and choosing a color from the Series dropdown menu.

Bar Mekko Chart

I included this chart to show Facebook’s decline in relation to the other large technology stocks. While Facebook’s stock price decline is the largest, 3 of the 4 larger tech companies (by market cap) posted gains since they released earnings. I chose a bar mekko to put the results in perspective. For example, Netflix has been hit hard and the stock is down 15.5% but its market cap (used as the bar width and shown in the data row) is quite small compared with the other stocks in the sector.

How I Created this Bar Mekko Chart

  • I entered the data into an Excel spreadsheet.
  • I inserted a bar mekko chart into the slide and pasted the data in from Excel.
  • I used Switch Bars and Series to get the proper data structure for the bar chart.
  • Under Bars and Series, I made the Market Cap and Earnings Date series data rows. I formatted these using the dropdown. I also selected Market Cap as the series to determine bar width (under Bars, Options, tab).
  • I also de-selected the chart box for the series stock price series (used to calculate the % change) so they would not appear on the chart
  • Using Format Chart, I formatted the bar totals to show as percentages. I also chose to color this chart by bar.
  • I added an axis title and hid the axis lines for a cleaner look.

Take These Charts and Make Them Your Own

Download these charts and edit them using Mekko Graphics. Learn more about how to use bar mekko charts by visiting The Power of Mekko Charts.

Here are some other posts that may interest you.

Tech Giant Revenue Mix

Tech Giant Profit Growth

Comparing the Profits of Apple, Amazon, Microsoft, Google and Facebook