This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Facebook Falls: Should You Copy Reed Hastings?

Facebook does not issue guidance. It has not updated the public on the progress of its mobile ad sales, other than to say they're going well.

Insert bold reiteration here: Hastings is on Netflix's board. He knows something. He's not concerned over Thursday's noise-induced drop in the stock. Who knows what caused it? Panic selling related to lockup expiration selling or that selling itself (assuming it's taking place). I'm not sure it matters.

What does matter?

Despite the media-generated hysteria, many social media stocks are nicely monetizing the mass migration to mobile, as I pointed out Wednesday on TheStreet. Hastings knows this. He talks to the founders and CEOs in the middle of the transformation.

When you consider its worldwide dominance and incredible scale, you should wonder why investors, particularly long-term ones, would not put Facebook at the head of the mobile monetization line.

While I can't officially speak for Hastings, I think he expects a blowout quarter, which will render Thursday's mini-crash in FB a blip on the short-term radar screen.



This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.

At the time of publication, the author was long FB.

Rocco Pendola is a private investor with nearly 20 years experience in various forms of media, ranging from radio to print. His work has appeared in academic journals as well as dozens of online and offline publications. He uses his broad experience to help inform his coverage of the stock market, primarily in the technology, Internet and new media spaces. He has taken a long-term approach to investing, focusing on dividend-paying stocks, since he opened his first account as a teenager. Pendola, 37, is based in Santa Monica, Calif., where he lives with his wife and child.
2 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Submit an article to us!
SYM TRADE IT LAST %CHG
FB $77.60 -1.50%
NFLX $566.42 2.10%
GOOG $532.34 -1.60%
TSLA $230.24 -0.12%
YHOO $41.34 -1.70%

Markets

DOW 17,960.76 -109.64 -0.61%
S&P 500 2,094.70 -19.79 -0.94%
NASDAQ 4,944.2040 -72.7250 -1.45%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs