Facebook Inc. FB reports earnings Tuesday afternoon, and this earnings report is all but certain to be different than the last one, in which management slashed full year guidance. Expectations are lower now, and there are two tailwinds that could boost the stock, which is down almost 20% this year. Instagram seems to be getting monetized at a faster clip. A Goldman Sachs analyst note said there’s evidence of increased advertising loads on Instagram profiles and news feeds. Even if Facebook revenue comes in strong, with the core Facebook platform contributing strong profits, it is the rate of monetization on Instagram investors want to see, as the future of the company, for now, rests on Instagram. Also, believe it or not, demand for ad space on Facebook’s core platform is still strong.
Look out for Erica Jhonsa’s live blog on Facebook earnings after the closing bell, and Annie Gaus’ in depth coverage of what matters when valuing Facebook now. Also, Facebook is RealMoney’s stock of the day.
Meanwhile, Apple Inc. AAPL reports earnings results Thursday. Average iPhone selling price will again be a focal point.
Facebook and Apple are holdings in Jim Cramer’s Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells these stocks? Learn more now.
SUBSCRIBE |
_
Want to Buy $1 Worth of Stock for 90 Cents or Less? You can with certain so-called “closed-end” mutual funds – an often overlooked investment class. Click here to register for a free online video in which TheStreet’s retirement expert Robert Powell and an all-star panel tell you all you need to know–
___
You can also find us on…
ACTION ALERTS PLUS |
FACEBOOK |
TWITTER |
PODCASTS |
THESTREET.COM |
LINKEDIN |
INSTAGRAM |
Sign up for ActionAlertsPlus.com today for exclusive insight into Jim Cramer’s charitable portfolio:
source
