Is Facebook a Good Stock to Buy and Own? | Ask A Fool - 3/19/14 | The Motley Fool

TL;DR

Facebook stock is a good long-term investment due to its market opportunity, strong user base, potential for growth in mobile advertising, and leadership under Mark Zuckerberg.

Transcript

hey fools Brendon Matthews here joined by Jason Moser this is our ASCO fool segment where we answer your questions we've got a great one today the question is what do you think of Facebook stock is it a good company to buy and own Jason what do you think yeah good question and I think for a for a while I was a bit skeptical of Facebook for a number... Read More

Key Insights

• 💪 Facebook has a huge market opportunity in mobile advertising due to its large user base and strong network.
• 👤 The leadership of Mark Zuckerberg and the company's established user base make it a promising long-term investment.
• 👤 The next decade for Facebook will focus on user engagement and expanding its reach through acquisitions.
• ❓ Initiatives like internet.org further showcase the potential for growth in untapped markets for Facebook.
• ☄️ Acquisitions like Snapchat and WhatsApp may contribute to Facebook's growth in the coming years.
• 🐕‍🦺 Facebook follows the "Hacker Way," always striving to improve its products and services.
• 👯 Mark Zuckerberg's passionate involvement in internet.org highlights his dedication to connecting more people to the internet.

Questions & Answers

Q: What is the market opportunity for Facebook in terms of mobile advertising?

Mobile ad spending is projected to reach $18 billion in 2014 and $42 billion by 2017, providing a significant opportunity for Facebook to generate revenue.

Q: What makes Facebook a powerful network?

With over a billion registered users, Facebook has established itself as a leader in the social media industry, indicating that it is doing something right.

Q: How does Facebook compare to other social media stocks?

Facebook, LinkedIn, and Twitter are the big three players in the social media industry, each with their own strengths, but owning a little bit of each is advisable for investors.

Q: What initiatives is Mark Zuckerberg focused on?

Mark Zuckerberg is passionate about initiatives like internet.org, which aims to bring internet connectivity to the two-thirds of the world population that are still not connected. This presents a significant growth opportunity for Facebook.

Summary & Key Takeaways

• Facebook has a significant market opportunity in mobile advertising, with expected spending of $18 billion in 2014 and $42 billion by 2017.

• The company has over a billion registered users and is considered a powerful network in the social media industry.

• The next decade for Facebook will be focused on engaging users and expanding its reach through acquisitions and initiatives like internet.org.