For today’s bulletin, we take a look at social media giant Facebook $FB and provide a link to download a FREE STOCK REPORT on the company.
VALUATION WATCH: Overvalued stocks now make up 50.74% of our stocks assigned a valuation and 22.671% of those equities are calculated to be overvalued by 20% or more. Twelve sectors are calculated to be overvalued.
Facebook Inc. (FB) operates a social networking website worldwide. The Company’s products for users are free of charge and available on the Web, mobile Web, and mobile platforms, such as Android and iOS. Its website enables users to connect, share, discover, and communicate with each other. The Facebook Platform is a set of tools and application programming interfaces that developers can use to build social apps on Facebook or to integrate their Websites with Facebook. It offers products that enable advertisers and marketers to engage with its users. Facebook Inc. is headquartered in Menlo Park, California.
Want to learn more about ValuEngine? Our methods? Our history?
Check out our video presentation HERE
More bad news for Facebook surfaced late last week as the company announced a data breach where hackers compromised the personal data of @50 million users–Facebook knows 50 million were directly affected, and noted that up to 40 million more “could have been.”
This is another example of a long series of data-security issues which include: the fact that Facebook data was used to target potential voters as part of the nefarious Russian activities during the 2016 US presidential election cycle, Cambridge Analytica improperly shared user data without permission, and–back in June, the company had a bug where user posts were accidentally publicly available despite security settings.
However, this breach is much more serious than we saw with Cambridge Analytica– and its improper collecting/sharing of data. Here, the hack could be used to takeover customer accounts and hackers could see everything in the user’s profile. And, if that’s not bad enough, Facebook also announced later last week that with the hacked data, the data thieves could also potentially access third-party sites that users had logged into via Facebook.
This is a serious problem for the company. While it may skate by in the US due to a more “permissive” regulatory climate, European regulators may be less inclined to cut the company a break. According to some analysts, Facebook could face fines in excess of $1.5 BILLION in Europe due to its lax handling of user data for some 5 million users on that continent. And, if US regulators do want to get tough, they have many avenues with which to pursue the firm. Currently, both the FTC and the SEC have ongoing investigations into Facebook’s privacy protections and its data-sharing practices.
VALUENGINE RECOMMENDATION: ValuEngine continues its HOLD recommendation on FACEBOOK INC-A for 2018-09-28. Based on the information we have gathered and our resulting research, we feel that FACEBOOK INC-A has the probability to ROUGHLY MATCH average market performance for the next year. The company exhibits ATTRACTIVE Company Size but UNATTRACTIVE Price Sales Ratio.
You can download a free copy of detailed report on the Facebook Inc. (FB) from the link below.
| ValuEngine Forecast | ||
| Target Price* |
Expected Return |
|
|---|---|---|
| 1-Month | 163.89 | -0.35% |
| 3-Month | 162.79 | -1.02% |
| 6-Month | 160.38 | -2.48% |
| 1-Year | 157.64 | -4.15% |
| 2-Year | 149.26 | -9.24% |
| 3-Year | 146.48 | -10.94% |
| Valuation & Rankings | |||
| Valuation | 8.80% undervalued | Valuation Rank(?) | 67 |
| 1-M Forecast Return | -0.35% | 1-M Forecast Return Rank | 24 |
| 12-M Return | -2.53% | Momentum Rank(?) | 39 |
| Sharpe Ratio | 1.27 | Sharpe Ratio Rank(?) | 96 |
| 5-Y Avg Annual Return | 28.96% | 5-Y Avg Annual Rtn Rank | 95 |
| Volatility | 22.74% | Volatility Rank(?) | 62 |
| Expected EPS Growth | 6.11% | EPS Growth Rank(?) | 29 |
| Market Cap (billions) | 459.99 | Size Rank | 100 |
| Trailing P/E Ratio | 23.01 | Trailing P/E Rank(?) | 53 |
| Forward P/E Ratio | 21.69 | Forward P/E Ratio Rank | 27 |
| PEG Ratio | 3.77 | PEG Ratio Rank | 10 |
| Price/Sales | 9.49 | Price/Sales Rank(?) | 13 |
| Market/Book | 7.73 | Market/Book Rank(?) | 20 |
| Beta | 0.47 | Beta Rank | 61 |
| Alpha | -0.05 | Alpha Rank | 49 |
DOWNLOAD A FREE SAMPLE OF OUR FACEBOOK (FB) REPORT BY CLICKING HERE
ValuEngine.com is an Independent Research Provider (IRP), producing buy/hold/sell recommendations, target price, and valuations on over 5,000 US and Canadian equities every trading day.
Contact ValuEngine at (321) 325-0519 or support@valuengine.com
Visit www.ValuEngine.com for more information
ValuEngine Capital Management LLC is a Registered Investment Advisory (RIA) firm that trades client accounts using ValuEngine’s award-winning stock research.
Contact ValuEngine Capital at info@valuenginecapital.com
Visit www.ValuEngineCapital.com for more information
Steve Hach
Senior Editor
ValuEngine.Com