Citigroup analyst Mark May reiterated his rating for Facebook Inc (NASDAQ:FB) and called the social stock a buy. May thinks that Facebook Inc (NASDAQ:FB) is ripe for investment, revenues and user growth for the next three years at least. After May’s BUY rating to Facebook Inc (NASDAQ:FB), the social media giant’s stock went up by $0.90. May also gave a $97 price target for Facebook.
May thinks that Instagram and WhatsApp are two of the primary drivers behind Facebook stock. The company is investing heavily in ads, messaging platforms and social media. Facebook Inc (NASDAQ:FB) recently rolled out some ads platforms and features for advertisers which are enough to keep its competitors sweating for years. Facebook Inc (NASDAQ:FB) has drastically taken the messenger ecosystem in its revenue streams. There is also a possibility that the company would devise a plan for Instagram ads. If Facebook Inc (NASDAQ:FB) creates an ads platform for Instagram, this would open yet another billion-dollar revenue stream for the company as Instagram is mostly used by teens, the most favorite age group and customer base for advertisers. Facebook Inc (NASDAQ:FB)’s Instagram is already testing ads platform for its users in Australia and Canada.
An article on Bezinga said has a good track record in successful rating of the tech stocks. But he also failed pretty badly in his rating of Yelp stock. The source mentioned that the recent integration of Facebook Inc (NASDAQ:FB) and WhatsApp platforms will open new horizons for revenues.
Ken Griffin holds 4.58 million shares worth $307.87 million of Facebook Inc. (NASDAQ:FB).