Facebook shares have taken a beating despite a decent earnings report and two positive analyst notes, causing some to wonder if Wall Street just hates Facebook.
Piper Jaffray analyst Gene Munster told Marketwatch that Wall Street's skepticism is based on two factors: ad growth slowdown and worry that teens are tiring of Facebook.“There have been an increasing number of reports suggesting Facebook’s momentum among teens is slowing,” Munster wrote.
As Wired points out, even a good earnings report last month had Facebook stock rise an anemic 4 percent. The two upbeat broker notes published this week, one from Piper Jaffray and one from Goldman Sachs, didn't prevent another drop of 5 percent.
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“Teenager are using other things more. At the same time, they continue to be very active engaged Facebook users,” Facebook chief operating officer Sheryl Sandberg said at the recent D11 conference.