SunTrust Robinson Humphrey Reiterates Buy Rating, $55 PT on Facebook on Positive Growth Forecast

In a report published Monday, SunTrust Robinson Humphrey analyst Robert S. Peck reiterated a Buy rating and $55.00 price target on Facebook FB. In the report, SunTrust Robinson Humphrey noted, “Given the early stage nature of many of Facebook's monetization efforts and the inherent optionality associated with the availability of curated personal data spread over a large network of users we utilize a central tendency of value covering EV/EBITDA, P/E, and P/FCF and are cognizant of the growth rate of each metric. Our central tendency of value methodology, yields a $55 target is based on 20x 2015 EV/EBITDA, 9x EV/Revenue, 40x P/E and 40x P/FCF. We estimate Facebook will deliver revenues and EBITDA CARGs of >30% from 2012 to 2015, justifying the target multiples.” Facebook closed on Friday at $47.49.