Facebook will have fallen 30% if we reach the lower end of my target.
Time and Price don't align in this analysis but this could make sense given the probability that an accumulation base will form over several weeks, and I believe it will take place around the $150 - $155 range.
Facebook's business will benefit massively from the following trends and fundamental reasons:
1. Advertising on Facebook's platform - Big companies vs. the current small companies.
2. Increase in ad rates for these big companies.
3. $150 price target equates to a 19 P/E which is under the historical average and industry average of 33.49
4. Instagram is going to show massive revenue and profit numbers going into 2019.
5. Whatsapp and Facebook Messenger will be monetized
6. Oculus is the leader in the VR megatrend
7. Facebook is a cash cow and will be able to buy the next big trend - think Instagram
Time and Price don't align in this analysis but this could make sense given the probability that an accumulation base will form over several weeks, and I believe it will take place around the $150 - $155 range.
Facebook's business will benefit massively from the following trends and fundamental reasons:
1. Advertising on Facebook's platform - Big companies vs. the current small companies.
2. Increase in ad rates for these big companies.
3. $150 price target equates to a 19 P/E which is under the historical average and industry average of 33.49
4. Instagram is going to show massive revenue and profit numbers going into 2019.
5. Whatsapp and Facebook Messenger will be monetized
6. Oculus is the leader in the VR megatrend
7. Facebook is a cash cow and will be able to buy the next big trend - think Instagram