JP Morgan, Topeka Comment On Facebook Prior To Q2 Earnings
Facebook's (NASDAQ: FB) second quarter earnings are scheduled for release after the closing bell.
The consensus estimate call for $2.81 billion in revenue and an EPS of $0.32. JP Morgan and Topeka Capital Markets have weigh in with their thoughts.
JP Morgan - Overweight, $80 Price Target
On July 14, JP Morgan reiterated its Overweight rating and $80 price target citing "solid" metrics across both mobile and desktop.
The analysts at JP Morgan noted that, based on June data, Facebook has retained an ~18 percent share of overall Internet time and a 20 percent share of mobile time, excluding Instagram and Whatsapp.
To summarize their view, the analysts wrote, "We believe Facebook's virtual ownership of the social graph, strong competitive most, and focus on the user experience position the company to significantly improve monetization over time and to become an enduring, blue-chip company built for the long-term."
Topeka - Buy, $80 Price Target
The analysts at Topeka are above consensus on revenue at $2.864 billion, but below on non-GAAP EPS by $0.01 at $0.31. However, the team noted it is expecting Facebook to beat its expectations.
The team noted that, based on checks throughout the quarter, demand for Facebook's inventory remains high and there is more interest in the company's ad platform. They also believe app installations will be a "strong contributor" to mobile monetization.
Latest Ratings for FB
|Dec 2014||MKM Partners||Initiates Coverage on||Buy|
|Nov 2014||Hilliard Lyons||Initiates Coverage on||Long-term Buy|
|Nov 2014||Morgan Stanley||Initiates Coverage on||Overweight|
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