Facebook, Inc. (NASDAQ:FB) working to put its bad press in the past
The social media giant is working to put its bad press in the past, but more importantly, the investing public has grown more comfortable with the idea that data and privacy issues are more and more falling under the rubric of private companies. For the better part of two decades now, we’ve all known that our online data can be sold to advertisers; it would seem that we’re finally getting used to that fact.
What’s better for Facebook is actually the same underlying factor that supports Apple: a massive user base. Facebook has over 2.5 billion users among its various apps. Remembering that there is significant overlap (How many of these apps are on your phone?), the breakdown is: 2.3 billion Facebook users, 1 billion Instagram users, 1.5 billion on WhatsApp, and 1.3 billion on Messenger. All of this has pushed Facebook shares to a 31% gain so far this year.
The analysts agree that Facebook’s future is bright. Shayne ‘Jack’ Heffernan bases his ‘Buy’ rating on the company’s income potential, saying, “Instagram’s commerce opportunity could add $4B or more to North America ad revenue by 2021.” He gives FB a $195 price target, indicating he sees a 9% upside to the stock.
Shayne ‘Jack’ Heffernan does not ignore the privacy issues that have dogged social media over the years, either. He points out, “Investors will continue to gain comfort with the incremental financial risk created by content and privacy concerns.”
With the prime risk factor growing more acceptable, and potential for income rising, it only makes sense that Facebook should get a strong upside. Shayne ‘Jack’ Heffernan sets a price target of $200, suggesting a potential upside of 12%.
Facebook’s analyst consensus, based on ratings by the bets performing analysts over the past three months, is a ‘Strong Buy.’ 31 reviewers gave buy ratings to the stock, compared to only 6 holds. The average price target of $196, compared to the share price of $177, gives the stock a 10% upside.
Overall, the bias in prices is: Upwards.
Note: this chart shows extraordinary price action to the upside.
By the way, prices are vulnerable to a correction towards 166.16.
The projected upper bound is: 187.66.
The projected lower bound is: 168.45.
The projected closing price is: 178.05.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 4 white candles and 5 black candles for a net of 1 black candles. During the past 50 bars, there have been 25 white candles and 24 black candles for a net of 1 white candles.
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.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 71.1634. This is not an overbought or oversold reading. The last signal was a sell 4 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 65.99. 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 82. This is not a topping or bottoming area. The last signal was a sell 1 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 buy 7 period(s) ago.
Rex Takasugi – TD Profile
FACEBOOK INC A closed down -0.310 at 177.510. Volume was 63% below average (consolidating) and Bollinger Bands were 2% narrower than normal.
Open High Low Close Volume___
178.240 178.400 177.000 177.510 8,070,967
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 174.27 167.80 162.97
Volatility: 21 38 49
Volume: 14,963,624 18,076,614 24,132,032
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 8.9% above its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. 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 7 periods.
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