Facebook Earnings: Is Another Home-Run Quarter Ahead?

With Facebook earnings due out on the 23rd, we discuss the key numbers and story lines investors should look for when the social networking giant reports.

Jul 21, 2014 at 9:35AM

Shares of social networking dynamo Facebook (NASDAQ:FB) seemingly can't be stopped. So far in 2014, Facebook stock has gained another 22%, handily outpacing the Nasdaq, and rival social media growth stock Twitter (NYSE:TWTR).

FB Chart

FB data by YCharts.

With tech earnings season reaching a fever pitch in the week ahead, shares of Facebook should take center stage when Facebook earnings are released after market close on July 23rd.

Facebook earnings: What to expect
Judging by analysts' average estimates, Facebook earnings won't disappoint, with both top- and bottom-line figures expected to expand more than 50% compared to the same quarter last year.

More broadly, this speaks to the investing theme that Facebook's advertising platform has continued to gain momentum, even as other peers, like Twitter, seemingly struggle to create lucrative advertising models of their own. Facebook, however, has enjoyed a critical head start compared to Twitter.

It's also hard to deny the long runways that both Facebook and Twitter could enjoy as they expand their advertising offerings into new mediums. For example, Facebook recently acquired the video advertising firm LiveRail in a move that many believe will portend a more concerted effort on Facebook's part to steal advertising spending from traditional TV networks. And that's just one example. In the video below, tech and telecom specialist Andrew Tonner previews the key numbers and storylines investors should watch for during Facebook's earnings next week.

How to cash in on tech's next great growth market
By now, you probably know Apple has recruited a secret-development "dream team" to guarantee its upcoming iWatch is a success, and it appears that will be the case. In fact, ABI Research predicts 485 million of this type of device will be sold per year. But one small company makes Apple's gadget possible. And its stock price has nearly unlimited room to run for early in-the-know investors. To be one of them, and see Apple's newest smart gizmo, just click here!

Andrew Tonner has no position in any stocks mentioned. The Motley Fool recommends Facebook and Twitter. The Motley Fool owns shares of Facebook. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

4 in 5 Americans Are Ignoring Buffett's Warning

Don't be one of them.

Jun 12, 2015 at 5:01PM

Admitting fear is difficult.

So you can imagine how shocked I was to find out Warren Buffett recently told a select number of investors about the cutting-edge technology that's keeping him awake at night.

This past May, The Motley Fool sent 8 of its best stock analysts to Omaha, Nebraska to attend the Berkshire Hathaway annual shareholder meeting. CEO Warren Buffett and Vice Chairman Charlie Munger fielded questions for nearly 6 hours.
The catch was: Attendees weren't allowed to record any of it. No audio. No video. 

Our team of analysts wrote down every single word Buffett and Munger uttered. Over 16,000 words. But only two words stood out to me as I read the detailed transcript of the event: "Real threat."

That's how Buffett responded when asked about this emerging market that is already expected to be worth more than $2 trillion in the U.S. alone. Google has already put some of its best engineers behind the technology powering this trend. 

The amazing thing is, while Buffett may be nervous, the rest of us can invest in this new industry BEFORE the old money realizes what hit them.

KPMG advises we're "on the cusp of revolutionary change" coming much "sooner than you think."

Even one legendary MIT professor had to recant his position that the technology was "beyond the capability of computer science." (He recently confessed to The Wall Street Journal that he's now a believer and amazed "how quickly this technology caught on.")

Yet according to one J.D. Power and Associates survey, only 1 in 5 Americans are even interested in this technology, much less ready to invest in it. Needless to say, you haven't missed your window of opportunity. 

Think about how many amazing technologies you've watched soar to new heights while you kick yourself thinking, "I knew about that technology before everyone was talking about it, but I just sat on my hands." 

Don't let that happen again. This time, it should be your family telling you, "I can't believe you knew about and invested in that technology so early on."

That's why I hope you take just a few minutes to access the exclusive research our team of analysts has put together on this industry and the one stock positioned to capitalize on this major shift.

Click here to learn about this incredible technology before Buffett stops being scared and starts buying!

David Hanson owns shares of Berkshire Hathaway and American Express. The Motley Fool recommends and owns shares of Berkshire Hathaway, Google, and Coca-Cola.We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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