Facebook Inc Earnings Model (Coley)
Author: Jordan Coley, Published: July 27, 2020 8:46pm, Category: Earnings Preview (Prior to the 2Q2019 earnings release)
Facebook, like most companies, is being affected by COVID-19 in a significant way. However, there are additional catalysts that will influence Facebook’s performance for the remainder of fiscal year 2020. While the current state of the world is influencing consumer behavior in the short term, there is a multitude of factors to consider when looking beyond this most recent quarter. In North America, Facebook is dealing with ongoing criticism from the public as well as US legislators. Facebook’s financial performance is reliant on both public perception of its platforms and advertiser’s willingness and ability to spend. On the other side of the world, Facebook has been unable to access China’s consumer base due to governmental regulations. The rest of the world strategy appears to be dependent on integrating its existing platforms with acquired ones that have an existing presence in these difficult to reach markets.
In the coming months and years, there is much to be anticipated. The 2020 US election could surely increase Facebook’s usership in the United States. Additionally, the addition of Jio to its portfolio could lead Facebook to become a dominant player within India...Refer to Jordan's full report attached below for details on his model drivers.
In the coming months and years, there is much to be anticipated. The 2020 US election could surely increase Facebook’s usership in the United States. Additionally, the addition of Jio to its portfolio could lead Facebook to become a dominant player within India...Refer to Jordan's full report attached below for details on his model drivers.
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Disclosure of Potential Conflicts of Interest: The author of this article/model has no financial investment or other conflict of interest related to the subject company or other companies discussed. Any views made or implied in the content represent the author’s opinions.