After a Long Rally, the Facebook Bears Emerge

Updated

After shares of Facebook rallied strongly over the past six months, largely due to analyst upgrades, there has been a recent rise in the number of analysts making bear calls on the stock now that it's at a higher price point.

In this video, Motley Fool senior technology analyst Eric Bleeker highlights some of the current concerns, such as waning user engagement and fears that Facebook's recent successes in mobile advertising may be cannibalizing its desktop revenue. He tells us why these fears are warranted, but says that he likes seeing Facebook sell-offs, because they bring the stock down to a great entry point for investors who see it for what it could be one day: the most powerful advertising platform in history.


After the world's most hyped IPO turned out to be a dunce, most investors probably don't even want to think about shares of Facebook. But there are things every investor needs to know about this company. We've outlined them in our newest premium research report. There's a lot more to Facebook than meets the eye, so read up on whether there is anything to "like" about it today, and we'll tell you whether we think Facebook deserves a place in your portfolio. Access your report by clicking here.

The article After a Long Rally, the Facebook Bears Emerge originally appeared on Fool.com.

Eric Bleeker, CFA has no position in any stocks mentioned. The Motley Fool recommends and owns shares of Facebook. Try any of our Foolish newsletter services free for 30 days. We Fools may not 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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