Yesterday, shares of Facebook Inc (NASDAQ:FB) fell after it was learned that India had officially banned the company’s idea for their “Free Basics” service. Today, however the stock is making a nice rebound in morning trading. This may come as a surprise to some, after the French Data-protection Authority, CNIL, has issued a formal notice to the company, demanding that they act within three months to stop tracking users in France.
Facebook Inc (NASDAQ:FB) tracks users’ actions for many reasons, one of which is to serve better advertising. However France appears to be highly against these actions, and Zuckerberg and team will only have three months to overhaul the system.
“Facebook transfers personal data to the United States on the basis of Safe Harbor, although the Court of Justice of the European Union declared invalid such transfers in its ruling of October 6, 2015,” CNIL said in a statement. “The formal notice is made public due to the seriousness of the violations and the number of individuals concerned by the Facebook service.”
Even though this seems like a pain in the neck for Facebook to deal with, overall, it probably won’t hurt the company’s bottom line much, if at all. The stock is up 2.13% or $2.12 following the news, hitting $101.87 per share. About 10.36M shares traded hands. FB has risen 13.93% since July 6, 2015 and is uptrending. It has outperformed the S&P500 by 23.41%.
From a total of 34 analysts covering Facebook (NASDAQ:FB) stock, 33 rate it a “Buy”, 1 a “Sell”, and 0 a “Hold”. This means that 97% of the ratings are positive. The highest target price is $170 while the lowest target price is $88. The mean of all analyst targets is $125.06 which is 22.76% above today’s ($101.87) stock price. Facebook was the topic of 66 analyst reports since July 21, 2015 according to the firm StockzIntelligence Inc. Piper Jaffray maintained shares on January 28 with a “Overweight” rating. Suntrust Robinson maintained shares with a”Buy” rating and a $120 target share price in their report from a January 25. Stifel Nicolaus maintained FB stock in a recent report from January 28 with a “Buy” rating. Morgan Stanley maintained the rating on November 5. Morgan Stanley has a “Overweight” rating and a $120 price target on shares. Finally, FBR Capital maintained the stock with a “Outperform” rating in a report they issued on a January 28.
The institutional sentiment increased to 1.73 in Q2 2015. It’s up 0.01, from 1.72 in 2015Q2. The ratio increased, as 69 funds sold all their Facebook Inc shares they owned while 375 reduced their positions. 126 funds bought stakes while 643 increased their total positions. Institutions now own 1.55 billion shares which is 2.48% more than the previous share count of 1.51 billion in 2015Q2.
Millennium Tvp Management Co. Llc holds 52.76% of its total portfolio in Facebook Inc, equating to 639,552 shares. Parametric Risk Advisors Llc owns 7.97 million shares representing 46.51% of their total US portfolio. Moreover, Sc Us (Ttgp) Ltd. has 41.15% of their total portfolio invested in the company, equating to 1.04 million shares. The California-based Meritech Capital Associates Iii L.L.C. has a total of 37.81% of their portfolio invested in the stock. Duquesne Family Office Llc, a New York-based fund reported 4.09 million shares owned.
Since February 25, 2015, the stock had 0 insider purchases, and 32 sales for a total of $57.08 million in net activity. Athwal Jas sold 30,000 shares worth $3.06 million. Stretch Colin sold 1,000 shares worth $98,710. Cox Christopher K sold 5,778 shares worth $561,622. Schroepfer Michael Todd sold 31,283 shares worth $3.00M. The insider Fischer David B. sold 15,000 shares worth $1.43 million.
Facebook, Inc. is a social networking company. The company has a market cap of $289.95 billion. The Firm is engaged in developing products that enables users to connect and share through mobile devices and personal computers. It has 78.97 P/E ratio. It offers various services focused on people, marketers and developers.