Heading into Facebook, Inc. (NASDAQ: FB)’s earnings report, investors shouldn’t be concerned with any impact from recent negative press related to privacy issues, according to Wedbush.
Wedbush’s Michael Pachter maintains an Outperform rating on Facebook’s stock with an unchanged $275 price target.
Facebook is expected to report July 25 and despite a “heightened” level of attention from the media relating to recent privacy scandals, the bullish case for the stock remains unchanged, Pachter said in a note. Average global daily time spent by users to be flat between the end of March and the end of June, the analyst said.
Facebook’s earnings should also emphasize its continued strong growth internationally and a ramp of monetization activity in the still under-penetrated platforms of Instagram, WhatsApp, and Messenger. As such, the company’s “unmatched scale” in its multiple platforms implies the company will remain a core component of digital…