Facebook Alert: Unlike FB Shares
The drama surrounding Facebook(FB) shares valuation hasn't stopped since they went public last month. Facebook's largest revenue source is their advertising and the company is on the defense saying everything is just fine. Red Flag fellow Masters.
Take a simple poll from your FB friends, how many of them have ever clicked on an ad? Have you ever clicked on a Facebook ad? Get real.
Facebook shares are around $27.30, a long way from its over $40 price last month. Facebook is saying that its ads are effective and that most ad campaigns get companies $3 for every $1 they spend. Well good for them, that should calm the market.
Today FB along with ComScore hvae a report that shows how Facebook ads have helped Starbucks (SBUX) and Target (TGT). Facebook said its research shows that 70% of ad campaigns will get advertisers a return three times what they put in, and in nearly half of all campaigns, Facebook ads get companies $5 for every $1.
Doesn't that make you feel better as a FB shareholder? If you are on the fence right now waiting to buy FB, isn't this good enough for you?
MASTERY Bottom line:
FB is fun to use, but not to own as an investment.
Mastery will wait until $25 a share before we considering buying.
Best of the Blogs
Scanning and identifying the best blog entries every hour
- Here's Which Emerging Markets Are Most Vulnerable To "External Shock" | ZeroHedge
- The American Dream Part 3 - Moonshine, Scam, & The Delusion Of Democracy | ZeroHedge
- A Tale Of Two Streets: Main Street Lagging, Wall Street Booming | ZeroHedge
- The 'Obama' Warning System | ZeroHedge
- Big Brother Is Here: Facebook Reveals Its Master Plan - Control All News Flow | ZeroHedge
- A Rare Goldman "Sell" Recommendation Leads To Even More Muppet Slaughter | ZeroHedge
- Frenzied Speculative Activity in China's Equity Markets | Financial Sense
The most relevant financial news and articles from the Internets
- Science-backed methods to make a long distance relationship work | Business Insider
- Iran negotiator says nuclear deal 'doable', issues... | Business Insider
- Varoufakis says blame game helps Europe's enemies | Business Insider
- DEAL OF THE DAY: save 50% on these premium noise-canceling headphones | Business Insider
- 15 mega-yachts worth a total of $5.5 billion — and the lucky men who own them | Business Insider
- Here's how much Steve Jobs' used to obsess over presentations | Business Insider
- Elon Musk explains why living off a dollar a day as a teenager convinced... | Business Insider