Jane Xiong's Contributor Page
Last Updated: July 18, 2020 (Prior to the 2Q2020 earnings release).
View: Bullish
Model description: My model shows Facebook as a slightly bullish company. Beginning March 2020, COVID-19 related restrictions such as stay-at-home orders have officially been in effect and I believe that some restrictions and uncertainties will persist into 2021. Because of COVID-19 restrictions and the introduction of the JIO partnerships in India, the growth in monthly active users has increased significantly in the first quarter of 2020 from past quarters. Starting June 2020(2nd quarter of 2020), I believe that the growth rates will slowly and steadily decrease as COVID-19 restrictions are being lifted, eventually leveling off in 2021. Even though significantly more people have been going on Facebook in the midst of the pandemic, there has been a noticeable drop in growth of average revenue per user as there is a significant decline in ad demand. In the U.S. and Canada, there has will be a negative growth rate in ARPU before it starts to stabilize later in 2020 and then eventually recover in 2021 due to the fact that Travel & Auto industries have been hit hard by COVID-19 effects. However, there has been faster growth in Asia due to their restrictions being lifted earlier.....click here to continue reading
View: Bullish
Model description: My model shows Facebook as a slightly bullish company. Beginning March 2020, COVID-19 related restrictions such as stay-at-home orders have officially been in effect and I believe that some restrictions and uncertainties will persist into 2021. Because of COVID-19 restrictions and the introduction of the JIO partnerships in India, the growth in monthly active users has increased significantly in the first quarter of 2020 from past quarters. Starting June 2020(2nd quarter of 2020), I believe that the growth rates will slowly and steadily decrease as COVID-19 restrictions are being lifted, eventually leveling off in 2021. Even though significantly more people have been going on Facebook in the midst of the pandemic, there has been a noticeable drop in growth of average revenue per user as there is a significant decline in ad demand. In the U.S. and Canada, there has will be a negative growth rate in ARPU before it starts to stabilize later in 2020 and then eventually recover in 2021 due to the fact that Travel & Auto industries have been hit hard by COVID-19 effects. However, there has been faster growth in Asia due to their restrictions being lifted earlier.....click here to continue reading
| FB Earnings Model (Jane Xiong).xlsx |
Jane is a recent graduate Stony Brook University, where she majored in Applied Mathematics and Statistics and Economics. She was a teaching assistant in the both the applied mathematics and economics department. Jane has a strong interest in working as a financial analyst or a related field, as it combines her passions for data analysis and financial modeling to help businesses make better decisions.
Disclosure: 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.
Disclosure: 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.