Facebook Inc (NASDAQ:FB) is Outperforming Through Innovation

Facebook Inc (NASDAQ:FB) is Outperforming Through Innovation

Facebook Inc (NASDAQ:FB) is Outperforming Through Innovation

Yes, I know that I have never been a Facebook fan, the stock still looks overvalued to me, however the company and Zuckerberg are delivering in terms of growth and innovation.

Innovation is something lacking in the “Unicorn Stocks” but I am always happy to admit when I am wrong, while I still do not like the Facebook valuation I have to say that Facebook is doing all the right things to catch up to the valuation.

Institutional Holders

% Shares Owned: 71.30%
# of Holders: 2,120
Total Shares Held: 1,648,444,242
3 Mo. Net Change: 43,464,882
# New Positions: 173
# Closed Positions: 77
# Increased Positions: 994
# Reduced Positions: 767
# Net Buyers: 227


FACEBOOK INC A closed up 0.012 at 118.822. Volume was 85% below average (consolidating) and Bollinger Bands were 67% narrower than normal.

Open High Low Close Volume___
118.500 118.960 117.820 118.822 4,694,477

Technical Outlook
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 117.99 115.07 104.36
Volatility: 15 28 40
Volume: 18,200,832 27,357,808 30,254,826

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.


FACEBOOK INC A is currently 13.9% above its 200-period moving average and is in an upward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect volume flowing into and out of FB.O at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on FB.O and have had this outlook for the last 22 periods.

Valuation Ratios

Company industry sector
P/E Ratio (TTM) 72.79 39.39 17.37
P/E High – Last 5 Yrs. 1,802.28 63.98 30.95
P/E Low – Last 5 Yrs. 70.70 23.56 12.23
Beta 0.74 1.02 1.05
Price to Sales (TTM) 17.19 7.18 11.02
Price to Book (MRQ) 7.21 6.03 2.39
Price to Tangible Book (MRQ) 13.04 10.78 3.27
Price to Cash Flow (TTM) 50.49 30.12 33.62
% Owned Institutions 71.30 3.49 0.89

Analyst Recommendations and Revisions

1-5 Linear Scale Current 1 Month
2 Month
3 Month
(1) BUY 21 21 22 22
(2) OUTPERFORM 25 25 26 26
(3) HOLD 3 3 3 3
(4) UNDERPERFORM 1 1 1 1
(5) SELL 0 0 0 0
No Opinion 0 0 0 0
Mean Rating 1.68 1.68 1.67 1.67

HEFFX Momentum is pointing to an overdue pullback but the stock has consolidated at these levels.

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 72.0075. This is not an overbought or oversold reading. The last signal was a sell 0 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 57.31. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 44 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 20. This is not a topping or bottoming area. The last signal was a buy 5 period(s) ago.


The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 10 period(s) ago.

Revenue & Earnings Per Share

Revenue* Earnings Per Share**
FY 2016 Mar ’16 5,382.00 0.523
FY 2015 Dec ’15 5,841.00 0.544
Sep ’15 4,501.00 0.313
Jun ’15 4,042.00 0.252
Mar ’15 3,543.00 0.181
FY 2014 Dec ’14 3,851.00 0.250
Sep ’14 3,203.00 0.305
Jun ’14 2,910.00 0.302
Mar ’14 2,502.00 0.246

Facebook, Inc., incorporated on July 29, 2004, builds products that enable people to connect and share through mobile devices and personal computers. The Company enables people to share their opinions, ideas, photos and videos, and other activities. The Company’s products include Facebook, Instagram, Messenger, WhatsApp and Oculus. The Company’s subsidiaries include Andale, Inc., Edge Network Services Limited, Facebook Ireland Holdings Limited, Facebook Ireland Limited, Facebook Operations, LLC, Instagram, LLC, Oculus VR, LLC, Parse, LLC, Pinnacle Sweden AB, Siculus, LLC, Vitesse, LLC and WhatsApp Inc.


Facebook is a mobile application and Website that enables people to connect, share, discover and communicate with each other on mobile devices and personal computers. The Company has approximately 930 million daily active users (DAUs) who access Facebook from a mobile device.


Instagram is a mobile application. The application enables people to take photos or videos, customize them with filter effects, and share them with friends and followers in a photo feed or send them to friends.


Messenger is a messaging application available for mobile and Web on various platforms and devices. Messenger enables people to reach others, and also enables businesses to engage with customers.


WhatsApp Messenger is a mobile messaging application that is used by people around the world. WhatsApp is available on various mobile platforms.


The Company develops Oculus virtual reality technology and content platform. The platform allows people to play games, consume content and connect with others.

The Company competes with Google.

The following two tabs change content below.
S. Jack Heffernan Ph.D. Funds Manager at HEFFX holds a Ph.D. in Economics and brings with him over 25 years of trading experience in Asia and hands on experience in Venture Capital, he has been involved in several start ups that have seen market capitalization over $500m and 1 that reach a peak market cap of $15b. He has managed and overseen start ups in Mining, Shipping, Technology and Financial Services.

Latest posts by S. Jack Heffernan Ph.D (see all)