Pivotal Research Releases a Sell Rating on Facebook Inc

By Carrie Williams

Pivotal Research analyst Brian Wieser assigned a Sell rating to Facebook Inc (NASDAQ: FB) today and set a price target of $147. The company’s shares closed on Friday at $190, close to its 52-week high of $190.66.

Wieser wrote:

“We wanted to update our perspective on whether large brand marketers will eventually react, and so reached out to a number of practitioners within marketing organizations across a wide range of categories in recent day. Our take-away is that so long as there is no expectation of a negative brand impact from running ads on those platforms and so long as near- term user or usage trends aren’t impacted by negative news, ad budget plans will not change in any meaningful way.”

According to TipRanks.com, Wieser is a 5-star analyst with an average return of 11.3% and a 72.4% success rate. Wieser covers the Services sector, focusing on stocks such as Interpublic Group of Companies, Publicis Groupe SA, and Nielsen Holdings.

Facebook Inc has an analyst consensus of Strong Buy, with a price target consensus of $218.22.

Based on Facebook Inc’s latest earnings report for the quarter ending September 30, the company posted quarterly revenue of $10.33 billion and quarterly net profit of $4.7 billion. In comparison, last year the company earned revenue of $8.81 billion and had a net profit of $3.56 billion.

Based on the recent corporate insider activity of 219 insiders, corporate insider sentiment is negative on the stock.

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