1 Huge Reason Investors Should Stay Away From Facebook

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Today, Andrew discusses a huge reason for investors to avoid Facebook. The tech company stumbled after a recent report showed a sag in usage numbers. Overall users fell 1% in the past six months, and in Facebook's 23 largest markets, 14 featured negative or flat usage numbers. But even more importantly, this could indicate negative long-term trends. With an unclear idea of how exactly to back its incredibly high valuation with actual profits, and continued criticism regarding its ad effectiveness, Facebook could easily see some tough times in the near future. Andrew continues to avoid the very risky stock.

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Andrew Tonner owns shares of Apple. You can follow Andrew and all his writing on Twitter at @AndrewTonner. The Motley Fool owns shares of Apple and Facebook. Motley Fool newsletter services recommend Apple. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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