Market Overview

UPDATE: Stifel Nicolaus Downgrades Facebook to Hold on Heavy Investment Phase

Related FB
S&P 500 Index Futures Trading Lower
Benzinga's Top #PreMarket Losers

Stifel Nicolaus downgraded Facebook (NASDAQ: FB) from Buy to Hold and removed a $31.00 price target.

Stifel Nicolaus said, "We have reduced our rating on shares of FB from Buy to Hold. Facebook reported what we view as solid 4Q12 results; ad revenue growth accelerated to 43% ex-FX. Mobile now represents 23% of total ad revenues, up from 14% in 3Q. But the company guided to significant margin compression in 2013, marking a fundamental downshift in the earnings trajectory. The company also downplayed the prospects for some growth initiatives, such as Gifts. With our earnings model totally re-calibrating, it is time to take some profits and evaluate the likelihood of potential earnings upside in future quarters."

Facebook closed at $31.34 on Wednesday.

Latest Ratings for FB

Nov 2015Argus ResearchMaintainsBuy
Nov 2015Credit SuisseMaintainsOutperform
Nov 2015Morgan StanleyMaintainsOverweight

View More Analyst Ratings for FB
View the Latest Analyst Ratings

Posted-In: Stifel NicolausAnalyst Color Downgrades Analyst Ratings


Related Articles (FB)

View Comments and Join the Discussion!

Get Benzinga's Newsletters