Can Facebook Come Out of the Current Crisis?

Facebook is trending today as the company, along with other tech giants, is under scrutiny by the Federal Trade Commission on its data collection practices. However, The Street’s expert Jim Cramer said that investors should treat the current turmoil as a buying opportunity because the issue will be forgotten by the markets in the coming days.

Facebook now has 1.82 billion daily active users. The company will also benefit from the expected rise in advertisements on its platform in 2021 as the threat of the coronavirus pandemic abates after the vaccine. The company crushed analysts’’ expectations in the third quarter results, with a revenue of $21.5 billion.

Expecations Facebook

Over the current book year the company from Menlo Park could achieve a revenue around 83,99 billion USD (consensus estimates). This is hugely more than 2019's revenue of 70,7 billion USD.

Historical revenues and results Facebook plus estimates 2020

Facebook

The analysts expect for 2020 a net profit of 26,99 billion USD. The majority of the analysts expects for this year a profit per share of 9,35 USD. Based on this the price/earnings-ratio is 29,48.

For this year analysts don't expect the company to pay a dividend. The average dividend yield of the internet companies equals a low 0,32 percent.

Latest estimates around 310 USD

The most recent recommendations for the internet company are from KBC Securities, Canacord Adams and Raymond James.

Facebook 's market capitalization is based on the number of outstanding shares around 657,47 billion USD. The Facebook stock was the past 12 months quite unstable. Since last December the stock is even 36 percent higher. This year the stock price moved between 137 and 305 dollar.

Historical stock prices Facebook2007-2020

Click here for dividend Facebook. On Wednesday the stock closed at 275,67 USD.

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