NEW YORK (TheStreet) -- Facebook (FB) founder and CEO Mark Zuckerberg announced on Friday an outline as to how the social media giant will combat fake news. A decision that Bloomberg News' Editor-at-Large Corey Johnson believes Zuckerberg was "forced into" making.
The social media giant has been taking some heat over the amount of fake news populating users' feeds. The fake news, also called "clickbait," is designed to draw readers in with headlines tailored to their specifics viewpoints. The content of the articles is often misleading and false. Anger over the fake news issue erupted after Donald Trump's recent election to the Office of President, as it was blamed for deceiving the public on issues related to the election.
"The studies that look at how people consume news show this very big change in societal behavior," Johnson said on Bloomberg Markets: Americas on Monday afternoon.
One study showed that 62% of people get their news off social media.
"The role of social media in distributing news is an important one," he continued. "I think that in Mark Zuckerberg's mind maybe this is something that people can figure out themselves, what's real here."
Zuckerberg said he believes it is "crazy" to think that Facebook influenced the election.
Facebook is active in determining what users can and cannot see. It is active in keeping away hackers, keeping away bots and keeping away other scam or spam content.
"They've done this through all sorts of algorithms and artificial intelligence to go through things, to figure out what's real, what's threatening and what's not," Johnson said. "So the notion that it's too hard to do is something that Facebook has been forced to back away from."
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author. TheStreet Ratings has this to say about the recommendation:
We rate FACEBOOK as a Buy with a ratings score of A-. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, impressive record of earnings per share growth, compelling growth in net income and good cash flow from operations. We feel its strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.
You can view the full analysis from the report here: FB