Analyst Says Facebook (FB) Losing Users in US; Sees Opportunity in Retail
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Price: $25.82 +0.23%
Rating Summary:
25 Buy, 14 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 10 | Down: 23 | New: 22
Rating Summary:
25 Buy, 14 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 10 | Down: 23 | New: 22
Trade FB Now!
Shares of Facebook (Nasdaq: FB) will likely gap higher at the open Tuesday as traders are using an 8 percent decline in the stock on Monday as a buying opportunity. In the pre-market session, shares are up 0.9 percent to $28.51.
The upside comes despite a warning from Capstone Investments' Rory Maher earlier. After shifting through Facebook user data from over 200 countries, Maher said the amount of Facebook users in the US has declined by about 1.1 percent over the last six months. Users in the UK were flat while users in Japan and India surged more than 60 percent and 20 percent, respectively.
Maher noted user growth becomes "challenged" as Facebook moves above 50 percent market penetration.
Taking a look at brand pages on the social network, the Capstone analyst believes the retail segment could be a solid opportunity for Facebook: about 45 of the top 100 brand pages were retailers.
Maher maintains a Hold rating on shares of Facebook.
Visit our Analyst Ratings page to track all the market-moving analyst action on shares of Facebook.
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The upside comes despite a warning from Capstone Investments' Rory Maher earlier. After shifting through Facebook user data from over 200 countries, Maher said the amount of Facebook users in the US has declined by about 1.1 percent over the last six months. Users in the UK were flat while users in Japan and India surged more than 60 percent and 20 percent, respectively.
Maher noted user growth becomes "challenged" as Facebook moves above 50 percent market penetration.
Taking a look at brand pages on the social network, the Capstone analyst believes the retail segment could be a solid opportunity for Facebook: about 45 of the top 100 brand pages were retailers.
Maher maintains a Hold rating on shares of Facebook.
Visit our Analyst Ratings page to track all the market-moving analyst action on shares of Facebook.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
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