Morgan Stanley Maintains on Facebook Following Good Start in 4Q


27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


In a report published Wednesday, Morgan Stanley analyst Scott Devitt maintained Overweight on

27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


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Facebook (NASDAQ: FB), with a $62.00 price target, as 4Q takes off with a good start, however noting that it is still early. According to the report, FB continues to lead the socially enabled internet; analysts forecast 927m mobile MAUs (+36 percent Y/Y) and expect mobile to exceed 50 percent of total ad revenue at $1.1B (+25 percent Q/Q). Continued mobile momentum is expected as both Instagram and video begin to contribute in 4Q. “We expect 4Q2013 revenue and EBITDA to be about in line with to above consensus estimates, which call for growth of 48% Y/Y and 49% Y/Y, respectively,” the report noted. “Our estimates call for total revenue to increase 51% Y/Y to $2.39b and for advertising revenue of $2.16b to grow 63% Y/Y. We look for FB mobile ad revenue to comprise 51% of total advertising revenue.”Some highlights from the report included:-We expect Instagram to help mobile momentum given advertising launch during the quarter-Upcoming stock catalysts: (1) video advertising, (2) more brand advertiser dollars.FB closed Tuesday at $58.51.
Posted In: Analyst ColorReiterationAnalyst RatingsMorgan StanleyScott Devitt