Facebook Will Be Under $100 By End Of Year On Alarming Cutback In Targeted Ad Spend
Facebook Inc (NASDAQ:FB) will be under $100 by the end of the year. Analysts are beginning to buzz about some of the news that has hit the stock lately. Just today, it broke that Facebook had over estimated key video metrics for two years. The stock is sharply lower. This is just one more nail the the coffin. The biggest one came a month ago when Procter & Gamble Co (NYSE:PG), the biggest spender on advertising in the world said they were moving away from highly targeted Facebook ads. Let me repeat, the BIGGEST ADVERTISING SPENDER IN THE WORLD said this.
Now imagine all the other companies that heard that news and are experiencing the same poor results. Facebook was all the rage over the last few years but the honest truth is, many companies are experiencing a loss when they spend on targeted Facebook ads. People are immune to ads.
Earnings will be released on November 2nd, 2016. This could be the quarter Facebook stock takes a nosedive.