Facebook: Controversy Creates a Buying Opportunity, Says Analyst
16/10 23:38
Not for the first time, news boards have recently been plastered with negative Facebook (FB) headlines. Whistleblower Frances Haugen has shone a spotlight on the social media giant’s alleged warped priorities, where profits are deemed more important than users’ health.
It’s a bad look and has been one of the factors behind the stock’s 15% drop from the all-time highs notched in early September.
But according to Tigress analyst Ivan Feinseth, the sell-off has created a “long-term buying opportunity." In fact, Feinseth not only reiterated a Buy rating for FB shares but also increased the price target - from $430 to $466. Investors could be sitting on gains of 43%, should Feinseth’s forecast play out over the coming months. (To watch Feinseth’s track record, click here)
As it has done many times before, Facebook will “overcome” the controversy and “continue to create long-term shareholder value,” according to Feinseth. And it has numerous ways to do so.
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