Most of you already know the news, #FB was down about 20% from the high of yesterday.
I had not direct exposure to FB, and Now I am not long not short.
On the other hand, FB have been punished for doing the correct thing.
Advertising is a great business for FB and it got out of hand for them now they are implementing new policies that will make the company an even stronger player in this field. It will take time and it will be able to attract more and better companies willing to buy adds.
#FB +40% in 183 days and -20% after #earnings @PeterLBrandt @PeterReznicek @TheEllenShow Are long term holders adding? pic.twitter.com/lI23m1Ei4s
— RandBots (@randbots) July 26, 2018
Third party data say:
In the long term
Very long term fundamentals just got better than before the dip in the stock. Here are the main reasons.
- The moves that Facebook is making are likely to successfully head off regulatory challenges. This is increasing costs in the short term and hitting the stock but is very bullish for the long term.
- As Facebook makes new investments, it will become even more attractive to advertisers than it is today.
- Some of the moves Facebook is making now will ultimately increase the profitability of Instagram, WhatsApp and Messenger. There is a long runway ahead to monetize these assets.
How low can it go?
At 140 I and many others like me will be become quite interested in buying if the macro does not change
So far the stock respected yesterdays the overnight low.
# FB Income Statement #Actual #Surprise @Reuters @MarioRandholm @Guruleaks1 @CNBCTradersFan pic.twitter.com/AbnmCcyAFy
— RandBots (@randbots) July 26, 2018
Here is the the TA – Quite simple
#FB at a Historical TrendLine @randbots @padilla_pantoja @LuisFigo pic.twitter.com/MMk8jTP74N
— Mario Randholm (@MarioRandholm) July 26, 2018