Facebook's Metrics Were Wrong Again -- Tech Roundup

A few months ago, Facebook (FB) reported that its video-ad metrics were overinflated and that they didn't represent the true viewership for the ads. 

The stock took a small hit, but mostly shrugged off the news as a non-event. It probably would be a non-event had the company not announced that another metric for its ads did the same thing

The numbers varied by situation. For instance, in some cases the average time spent on an article was overstated by 7% to 8%, whereas in other cases double-counting certain users may lead to a 55% decline in advertisers' 4-week numbers. 

It's obviously that Facebook wasn't making a deliberate effort at deceiving its customers. The company has said the new changes won't impact billing - which is what investors want to hear - and perhaps that will be the end of it. 

After all, companies still want Facebook as an efficient way to reach its customers. On the other hand though, with the customer-reach numbers clearly overstated, perhaps advertisers will think twice before piling into Facebook. 

Shares of Facebook closed at $116.34 Wednesday, down 0.7%.

Facebook and Alphabet (see item below) are holdings in Jim Cramer's Action Alerts PLUS Charitable Trust Portfolio. Want to be alerted before Cramer buys or sells FB or GOOGL? Learn more now.
 


Barnes & Noble (BKS) isn't going to quit without a fight. This time, the company has introduced the Nook 7, a seven inch tablet that starts at $50. 

The device will compete with Amazon's (AMZN) Kindle tablets and is priced competitively for that purpose. The Nook will be powered by Android, have access to Nook books and the Nook store, and will also have access to the Google Play store. 

The device will go on sale on November 25th, Black Friday as Barnes & Noble looks to spur sales for the struggling device. In its most recent quarter, the company reported that sales had fallen 25% for the Nook.

Despite the falling Nook sales and the fact that revenues have steadily dropped for the last four years, the stock isn't too far from its 52-week highs, currently at $13.63. 

Well, I guess it's not all that close, but currently trading near $12, it's a lot closer to its 52-week high than its 52-week low of $7.25.

Shares of Barnes & Noble closed at $11.80 Wednesday, down 0.8%. 


Alphabet's (GOOGL) got some buildin' to do. The California-based search giant has confirmed that it's headed across the pond in order to build a new headquarters in London

The building will fit 7,000 employees, 3,000 of which will be new hires. There were serious questions over whether Google would go forward with the expansion given the country's Brexit vote earlier this year. 

However, the company apparently won't let that be the reason for foregoing expansion.

The city mayor views it as a vote of confidence not just in regards to the Brexit, but also the growing technology hub that London has become. On the matter, mayor Sadiq Khan said:

"London is one of the world's leading technology hubs and investment into the capital post-Brexit remains robust, so Google's expansion will further strengthen our city's reputation as a global leader in digital technology."

The company plans to complete the move in 2018. 

Shares of Alphabet closed at $779.98 Wednesday, up 0.6%. 

This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.

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