Facebook Inc (FB) Shares Fall in Pre-Market Despite CEO Predicting 5 Billion Users by 2030


Currently, as it stands, Facebook Inc (NASDAQ:FB) has approximately 1.59 billion active monthly users. However, as Facebook stock had retreated a bit yesterday, CEO Mark Zuckerberg stood in front of reporters yesterday telling them that he expects that the social network will have 5 billion users by the year 2030.

Shares of Facebook Inc (NASDAQ:FB) continue to trade down this morning in the pre-market, down 1.14% since yesterday’s close. However, if Zuckerberg is correct in his guestimate, there will certainly be some very pleasant days ahead for investors of the company. Considering that the world population stands at just 7 billion, 5 billion would represent a huge chunk of the planet’s humans. We must also consider that in 14 years from now the population will more than likely be closer to 8.5 to 9 billion though, making this acheivement somewhat easier to accomplish. Regardless though, 5 billion online users would mean that the majority of the developing world would have access to Facebook and the rest of the internet, something that would not only be good for the stock, but also for the world as a whole.

“We want to finish connecting everyone, we’re going to do it in partnership with governments and different companies all over the world,” Zuckerberg explained.

The stock decreased 1.68% or $1.92 during the last trading session, hitting $112.69. Approximately 253,788 shares traded hands. FB shares have risen 31.39% since June 30, 2015 and are currently uptrending. It has outperformed the S&P500 by 38.90%.

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 10.98% above today’s ($112.69) 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 is positive, 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 34 selling transactions for a total of $157.58 million in net activity. Athwal Jas sold 30,000 shares worth $3.06M. 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 $326.21 billion. The Firm is engaged in developing products that enables users to connect and share through mobile devices and personal computers. It has 87.36 P/E ratio. It offers various services focused on people, marketers and developers.