While both supporters and opponents of Facebook's stock will admit to it's less than satisfactory performance since it's IPO, neither side seems willing to let up and have come up with predictions to support their cause. However, choosing sides may not be necessary when they both can still be sources for financial leads.
But first, here's the Forbes article which details the predictions that were mentioned. On the positive side, you have two Covestor managers who cite three reasons to buy Facebook stock. And on the opposition, you have a managing partner who challenges all three with an overall emphasis on a single but major flaw. Regardless, how do any of this indicate either side as a potential source of financial leads?
Well first, here's a brief excerpt of what the proponents are saying:
“Kris Tuttle, who manages the Soundview Technology model, and Eric Steiman, who manages the Undervalued Opportunities model, say Facebook’s current valuation is attractive.”
The three reasons are as follows:
- Increased Profit
- Growth Potential
- Attractive Business Model
The details of each reason are explained in further detail in the article but for financial management and planning services, supporters of Facebook stock might need even just a bit of advice on how to act based on these predictions. Those specializing in risk management can can also join in should some of the predictions start falling short. Utilize appointment setting to schedule meetings and help make plans. The proponents of Facebook still remain optimistic and maintained their high hopes for the company's plans to monetize. But speaking of plans, that still makes them viable for leads because they could use some help making plans of their own to help them benefit from the predicted success.
Now for the opposition. While there's only one reason it is definitely a big one and it's this single, major flaw on Facebook's part that is fueling all those who question its value: uncertainty.
“For every stock cheerleader there is a naysayer, a category in which Andreas Scherer, managing partner of Salto Partners, could fall.
Facebook’s appeal to advertisers is limited, he tells me, with people using the site but not clicking on the ads. Also, its mobile monetization is unclear. But a looming issue for investors considering whether they should jump in now, he says, is the lock-up expiration, which happens next month. At that point Facebook employees will have to decide if they want to cash out now or take a chance that the stock will improve.”
So as always, uncertainty remains the overall hard-hitter for Facebook supporters. Whether it's the uncertainty of the effect of Facebook advertising or the uncertainty of who will take a chance versus those will cash out. Despite that, this uncertainty is another reason for why many companies out there could use financial planning services to help them arrive at a decision (instead of continuing to place their bets on Facebook). This too can be a sort of springboard with which you can generate interest for them.
As you can see, there might not be any need to really pick a side on this and which could be all the more better. The outcome of this debate won't have too much of a negative impact because there will be a need for your services either way.