Facebook’s newsfeed overhaul wasn’t greeted well by traders in the pre-market on Friday.
For their part, JPM thinks this “creates risk.”
“FB’s move to shift news feeds to personal posts and away from businesses and media outlets creates a risk to the company’s financial performance and is likely to bring near-term weakness to the shares,” the bank’s Doug Anmuth writes in a new note, adding that “Zuckerberg’s Thursday post detailing the changes quite deliberately didn’t mention advertising, but the changes may result in fewer ads in news feeds.”
“[We have] less conviction in our call vs any other time in our coverage history as FB either addresses the platform issues despite the effect on monetization or ignores the challenges and risks the franchise,” Stifel’s Scott Devitt says.
“The move could exacerbate slowing trends,” Morgan Stanely laments.
So you know, position accordingly.
Viewing 1 post (of 1 total)
Heisenberg says: do me a favor and turn off your ad blocker, ok? After all, I spend all day creating content for you so you know, I'm not asking much here.