This Day On The Street
Continue to site
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's Election Day Pitch

NEW YORK ( TheStreet) -- As Americans cast their vote in Tuesday's presidential election, Facebook (FB - Get Report) sits in a position of being a social networking industry veteran after playing a key role in grassroots efforts during the 2008 campaign. Still for Facebook's investors, the presidential election may turn out to be a referendum on company's earnings prospects, as it bids to increase its relevance in a social media landscape marked by the rise of Twitter.

A quick visit to Facebook shows that as polling stations open for the 2012 presidential vote and scores of Senate and Congressional campaigns, the company is taking this year's election very seriously.

At the top of the billion-member-plus social network is a button that allows users to find their polling stations and show friends and family they are voting. "It's Election Day," reads, "Tell friends you're voting in the 2012 Election and find out where to vote," the button goes on to add.

Already as of the early afternoon, Facebook users can see who in their network has said they've voted... and impute who hasn't.

Meanwhile, Facebook has launched a separate Facebook Stories site to track voting in real time. As of the late afternoon, the site has over 195,000 likes connecting back to its flagship network and over 4.5 million users have shared that they've voted on Facebook. To be seen is how the site's data will play into Election Day coverage once polling stations close.

While election year buttons and dedicated sites may be about trying to deliver on chief executive and co-founder Mark Zuckerberg's get out the vote mission, there's also real money to be made. The 2012 presidential horse race comes at a crucial time for Facebook as it tries to prove to advertisers and investors its platform can work in an increasingly targeted and mobile media world.

When the the 2012 presidential race ends, tech investors and analysts are likely to closely scrutinize how Facebook and Twitter perform on user traffic, advertising revenue and mobile usage. Results are likely to be a key gauge for investors as they handicap who will be the winners and losers in the social networking space in coming quarters and years.

See why The Twitter vs. Facebook War is Heating Up.

Since late October, Facebook is riding a wave of revived optimism on the company's shares and earnings outlook, after its first months as a public company were mired by falling share prices and concerns of slowing growth and user interest.

The company's shares surged over 20% after reporting third quarter earnings that showed Zuckerberg & Co. were making progress on mobile efforts and the network's overall usage increased.

In a presidential election that's now market by far more competition in social networking and the proliferation of Internet usage on Apple (AAPL - Get Report) iPhone and Google (GOOG - Get Report)-Android powered devices, Facebook still has a lot yet to prove to investors. Meanwhile, shares remain roughly half their IPO price from March.

Still, as the company rolls out its election day social media pitch that connects users to real-time voting trends in their network and throughout the U.S., investors may be underestimating the impact of the 2012 elections.

In September, TheStreet noted that political election year ad spending may be one of the biggest positive surprises for the earnings of publicly traded media companies through 2012.
1 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
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.74 -1.15%
FB $118.00 1.10%
GOOG $693.01 0.29%
P $9.93 5.19%
TSLA $240.76 -2.81%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs