John Balafoutas' Contributor Page
Company: Facebook Inc (NASDAQ:FB)
Last Updated: July 18, 2020 (Prior to the 2Q2020 earnings release).
View: Bearish
Model description: In this model, I detail how the effects of the COVID-19 virus will have an adverse impact on Facebook's upcoming earnings and business model. The two main areas of focus are Facebook's Monthly Active Users and the Average Revenue Per User. Both these values are expected to vary with the aftermath of the COVID-19 virus. Within the model, I detail that although the number of Monthly Active Users may increase, the Average Revenue Per User will decrease. I forecast that this revenue loss due to the decrease in advertisements from many organizations will result in a below-average earnings report. Also, in the model and my report, I outline several additional factors that must be considered when describing the earnings of Facebook in the near future...click here to continue reading
Last Updated: July 18, 2020 (Prior to the 2Q2020 earnings release).
View: Bearish
Model description: In this model, I detail how the effects of the COVID-19 virus will have an adverse impact on Facebook's upcoming earnings and business model. The two main areas of focus are Facebook's Monthly Active Users and the Average Revenue Per User. Both these values are expected to vary with the aftermath of the COVID-19 virus. Within the model, I detail that although the number of Monthly Active Users may increase, the Average Revenue Per User will decrease. I forecast that this revenue loss due to the decrease in advertisements from many organizations will result in a below-average earnings report. Also, in the model and my report, I outline several additional factors that must be considered when describing the earnings of Facebook in the near future...click here to continue reading
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John is a rising Junior at the University of Pittsburgh. He is triple majoring in Finance, Accounting, and Business Information Systems, minoring in Economics and earning a Business Analytics certificate. John serves as the Vice President of Finance for the University of Pittsburgh Alpha Kappa Psi Professional Business Fraternity. John is originally from Harrisburg, Pennsylvania, and has spent time working for several local financial firms, including Members 1st Federal Credit Union, PSI Investment, and with the University of Pittsburgh Endowment. During the summer of 2020, John will be working with BIS Oxford Economics as a remote intern and assisting with several projects involving market research and strategic consulting. John's current interests within the financial service industry include helping companies navigate complex business decisions through the use of economic trends and forecasting techniques. He hopes to use his skills and experiences to pursue a career in financial consulting or investment management.