Nihal Dhruva's Contributor Page
Last Updated: July 26, 2020 (Prior to the 2Q2020 earnings release).
View: Bullish
Model Description: While some companies have greatly suffered as a result of COVID-19, Facebook has been able to excel in certain areas. Specifically, Facebook's MAU's (Monthly Average Users), has spiked in all regions through the first quarter of 2020, while another key metric Average Revenue Per User (ARPU), has decreased during this period. With the expectation that COVID-19 will still be prevalent in some areas in the near future, and less prevalent in other areas, my forecast was primarily altered with respect to those expectations. While I do have the expectations that things will return back to normal by 2021, I have kept my estimations higher than historical average, based on the belief that people will continue to use Facebook in a variety of ways, especially small businesses who are looking to make an e-commerce presence, and using Facebook as their main platform of business and advertising.
View: Bullish
Model Description: While some companies have greatly suffered as a result of COVID-19, Facebook has been able to excel in certain areas. Specifically, Facebook's MAU's (Monthly Average Users), has spiked in all regions through the first quarter of 2020, while another key metric Average Revenue Per User (ARPU), has decreased during this period. With the expectation that COVID-19 will still be prevalent in some areas in the near future, and less prevalent in other areas, my forecast was primarily altered with respect to those expectations. While I do have the expectations that things will return back to normal by 2021, I have kept my estimations higher than historical average, based on the belief that people will continue to use Facebook in a variety of ways, especially small businesses who are looking to make an e-commerce presence, and using Facebook as their main platform of business and advertising.
| FB Earnings Model (Nihal Dhruva).xlsx |
Nihal is an undergraduate student at Rutgers Business School in New Brunswick and is majoring in Finance with a concentration in Business Analytics. Previously, Nihal interned at Ariel Investments, an asset management firm where he saw first-hand what the world of corporate finance entailed, and sparked his initial interest in finance. At Rutgers, Nihal has served as an analyst for the Consulting Analyst Program (CAP) run by the Rutgers Consulting Group and is an active member of the flagship finance club, Little Investment Bankers of Rutgers. Currently, Nihal is interning as a summer analyst at George + Company, a middle-market investment bank and he covers the Latin America region. Outside of finance, Nihal enjoys playing basketball with friends and driving his car.
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.