- Facebook's (FB -0.5%) multi-year run of solid financials is set to continue, says RBC Capital, and the continuing daily stories about the social network and Russian meddling in U.S. elections is very unlikely to dent that.
- Reiterating an Outperform rating, analyst Mark Mahaney says there are only two hypothetical scenarios in this situation that could cause an advertiser run: an example of a Facebook employee colluding with Russia in the case, or a massive Equifax-like security event that could demolish trust in the company.
- Shares have dipped because "high-level investors don’t really like those kind of headlines,” Mahaney writes. On the other hand, "I think most investors would look at this and say, ‘Wow, this has got to be a pretty powerful platform if it could influence an election.’ ”
- Mahaney predicts Facebook will generate $39.9B in 2017 revenues, above Street consensus for $39.19B.
- Previously: Facebook: About 10M saw Russian ads designed to sway election (Oct. 02 2017)
- Previously: Facebook to add 1,000 hires to ad review process (Oct. 02 2017)
- Now read: Facebook: Can It Grow?
Original article