Despite an ongoing pandemic and the U.S. economy barely limping along, the Nasdaq is still trading more than 50% above its March lows. The surge in tech stocks in 2020 has understandably led investors to draw comparisons to the dot-com bubble in 2000.
The Nasdaq ultimately peaked at 5,048.62 on March 10, 2000. Of course, some dot-com bubble stocks have performed much better than others in the 20 years since the bubble burst.
FANG Stocks Of Dot Com Bubble: Today’s investors are very familiar with the FANG stocks, Facebook, Inc. (NASDAQ: FB), Amazon.com, Inc. (NASDAQ: AMZN), Netflix, Inc. (NASDAQ: NFLX) and Alphabet, Inc. (NASDAQ: GOOGL) (NASDAQ: GOOGL). These four stocks both led the bull market since the 2008 financial crisis and dominate today’s market with their massive market caps.
The dot-com had its own growth of FANG-esque stocks that dominated the tech sector back in 2000:
Microsoft Corporation (NASDAQ: MSFT) reached a dot-com bubble peak market cap of $561 billion back in March 2000.
Cisco Systems, Inc. (NASDAQ: CSCO) reached a peak market cap of $555.4 billion.
Intel Corporation (NASDAQ: INTC) peaked at a $509 billion market cap in August 2000.
Oracle Corporation (NYSE: ORCL) had its dot com market cap top out at $245 billion in March 2000.
Finally, IBM (NYSE: IBM) had a peak dot com-era market cap of $215 billion.
Altogether, these five tech stocks had a peak combined dot com market cap of more than $2.08 trillion, but that valuation certainly didn’t last for long.
See Also: 5 Ways Today’s Market Resembles The Dot-Com Bubble
Dot-Com Bubble Fallout: A year after the Nasdaq peaked in March 2000, the Nasdaq was down 59.3%. All five of these big tech stocks had taken a hit. IBM was the most resilient of the group, declining just 5.4%. Microsoft shares