Facebook is expected to report first-quarter earnings and revenue in extended trading on Wednesday, and investors will be watching for clues on how the social network plans to monetize its key Stories feature.
Wall Street anticipates that the company will report earnings of $1.63 per share ー down from $1.69 a year ago ー and revenue of $14.9 billion, according to analysts surveyed by Thomson Reuters.
Facebook ($FB) shares have rebounded close to 50 percent since December lows. The stock had weakened throughout 2018 following a series of data breaches and privacy scandals. Its recovery suggests investors may be feeling confident Facebook can weather future regulatory or privacy challenges that come its way.
That doesn't, of course, discount any more potential revelations regarding Facebook's privacy mismanagement. Facebook disclosed on Apr. 19 ー the same day that Special Counsel Robert Mueller's report on Russia and the White House dropped ー that login info for millions of Instagram users had been stored in a readable format on Facebook's internal servers, Common Dreams reported.
Facebook's fourth-quarter results reinforced investor optimism. The company reported stronger than anticipated earnings and revenue, despite ongoing controversy over the company's handling of privacy and its users' data. The company's earnings jumped 68 percent since the previous year and revenue climbed by about 61 percent, CNBC reported. Facebook also saw daily active users grow in its core Facebook product, even the U.S., where active users had previously plateaued.
The company also announced last quarter it would stop breaking out active users for its core Facebook platform, instead wrapping them into metrics from its other properties. That move would likely hide stagnation for Facebook, but also could hamper bigger growth numbers from products like Instagram.
Lastly, Facebook has been laser-focused on its Stories features and messaging apps. CEO Mark Zuckerberg said Facebook will shift focus toward encrypted and private messaging, despite the company's rather checkered history with privacy. Facebook execs could share clarification on its plans to monetize Stories and unify messaging on a call with investors after the social media giant reports earnings.
For the first time since September, Bitcoin fell below $40,000 early Monday. The currency's average short-term price has now dipped below its average long-term price, which is known by a rather dramatic term, a death cross. According to analysts, the indicator appears to be a result of mounting concerns of faster liquidity withdrawal by the US Federal Reserve. The crypto slump also follows a week of rough trading for equities overall. CEO Snickerdoodle Labs and Co-Founder of the Stanford Future of Digital Currency Initiative, Jonathan Padilla, joined Cheddar to discuss more.
With the record highs in pet ownership in recent months, there is a huge emerging market in pet technology. The new halo collar isn't just a smart collar; it's the next-generation dog safety system. Cheddar News sits down with the co-founders of Halo, Cesar Milan and Ken Ehrman, to discuss.
With no end in sight to supply chain snarls, some companies are reconsidering the way they manufacture goods. Harry Moser, founder and president of Reshoring Initiative and Jennifer Smith, logistics and supply chain reporter for the Wall Street Journal, joined Cheddar News' Closing Bell to discuss some of the ways companies are trying to solve their supply chain problems in the long term.
Bitcoin dipped below $40,000 this week amid a broader slump to begin the year. Some speculate that as cryptocurrencies correlate closer to traditional assets that factors like the Federal Reserve tightening monetary policy will weigh on digital coins. Jalak Jobanputra, managing partner at Future Perfect Ventures, joins Cheddar News' Closing Bell to discuss why crypto markets are feeling pressure from the Fed's potential 2022 rate hikes, broader crypto market predictions, and more.
A.I. startup Fractal has raised $360 million in funding, officially entering the unicorn club. Pranay Agrawal, CEO and Co-Founder of Fractal, joined Cheddar News' Closing Bell to discuss what the company plans to do with the fresh capital.
Electric vehicles are quickly becoming an accessible way for consumers to slash emissions as legacy automakers begin to electrify their fleets and world leaders including President Joe Biden push for broad EV adoption. But consumers have concerns about EV range, the availability of charging stations, and more. What if it were both helpful to consumers — and feasible from a climate change standpoint — to keep hybrid models that run on gas on the market? Gill Pratt, CEO of the Toyota Research Institute & Toyota Motor Corporation's Chief Scientist joins Cheddar Climate to discuss his team's research about 'carbon return on investment,' how Toyota is electrifying its fleet, and more.
Fresh off of a $42 million Series B Fundraise, co-founder and CEO of Chapter, Cobi Blumenfeld-Gantz, joined Cheddar to discuss the company's business model and how it will use the capital going forward. He explained that Chapter is a Medicare advisor that searches savings on medical options in order to help users find the right plan for them. "We want to make sure we can help all of our existing members and as many new Americans find the right Medicare coverage, so we're hiring aggressively for the best talent we can," Blumenfeld-Gantz said.
