Disclaimer:

Disclaimer: The blog posts and comments on this blog and posts on social networks are not investment recommendation, are provided solely for informational purposes, and do not constitute an offer or solicitation to buy or sell any securities. The opinions expressed on the blog are Petar Posledovich's. Petar Posledovich does not guarantee the accuracy of the information presented on this blog and social networks. The information presented is "as is". The blog is stocks analysis and valuation, Bitcoin, Cryptocurrencies, Artificial Intelligence, AI, deep-learning focused. Independent, unbiased AI insights. Petar Vladimirov Posledovich is not liable for any investment losses incurred by reading and interpreting blog posts on this blog and posts on social networks. Conflicts of interest: I may possess some of the securities, currencies or their derivatives mentioned in the blog post and posts on social networks! The blog is property of Wolfteam Ltd. www.wolfteamedge.com Respectfully yours, Petar Posledovich

Tuesday, February 11, 2020

Will Facebook Continue to Grow So Fast?

Dear Reader,


Here I am going to analyze in short whether Facebook can continue to grow its revenue and profits at its latest very fast clip.

No. I do not think Facebook will continue to grow its revenue and profits as fast as it has. Its main market - global internet advertising will slow its growth to 15.5% in 2020 according to emarketer and the link provided: https://www.emarketer.com/content/global-digital-ad-spending-2019

Facebook's main revenue and profits and revenue driver is internet advertising. Yes, Facebook is trying to enter electronic commerce and financial services through payments. But as many leading high technology companies have shown, it is very difficult to win outside your area of root expertise, which in Facebook's case is internet advertising. As another option Facebook could try and expand its market share in internet advertising, but I do not think this is feasible given Facebook's already large market share in internet advertising.

Facebook's future slowdown in revenue and profits will have a negative effect on its stock price or at least slowdown Facebook's market capitalization growth.


Disclaimer: The blogposts and comments on this blog and posts on social networks(Twitter, LinkedIn etc.) are not investment recommendation, are provided solely for informational purposes, and do not constitute an offer or solicitation to buy or sell any securities. The opinions expressed on the blog are Petar Posledovich's. Petar Posledovich does not guarantee the accuracy of the information presented on this blog and social networks. The information presented is "as is".

Petar Vladimirov Posledovich is not liable for any investment losses incurred by reading and interpreting blogposts on this blog and posts on social networks.

Conflicts of interest: I may possess some of the securities, currencies or their derivatives mentioned in the blogpost 
and posts on social networks(Twitter, LinkedIn etc.)!


Respectfully yours,
Petar Posledovich

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