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Wednesday's "Earnings Beat" Makes This The Perfect "Bad-Market" Tech Stock

In last week’s Private Briefing report Our Experts Show You the Stocks to Pick in a ‘Stock-Picker’s Market’,” Money Map Press Chief Investment Strategist Keith Fitz-Gerald identified SanDisk Corp.(NasdaqGS: SNDK) as one of three stocks to buy in the face of the stock market sell-off.

And now we see why…

  • Nasdaq: FB

  • Facebook Takes a Step Closer to Its Own Search Engine And Facebook's reach grows bigger...

    Microsoft (Nasdaq: MSFT) announced this week it is revamping its Bing search engine to include content from Facebook and other social media platforms.

    The move introduces a new sidebar to Bing, which aims to connect users with friends and other aficionados who can provide help, assistance and advice related to the performed search.

    The Redmond, WA-based Microsoft said the foray is based on the fact that "90% of people consult with a friend or expert before making a decision."

    The venture will hopefully give Bing some bang. Data reveals that Bing has about 15% of the U.S. search market, while Internet search behemoth Google (Nasdaq: GOOG) commands a 66% portion. Microsoft is hoping many will likethe new element and it will entice people to favor Bing when Web searching.

    The new service will appear to the right of all search results, and will highlight a feature dubbed Friends Who Might Know.

    Microsoft wrote on its blog, "Bing suggests friends on Facebook who might know about the topic-based on what they "like," their Facebook profile information, or photos they have shared so you can easily ask them about relevant experiences and opinions. For example, if you're searching for diving spots in Costa Rica...you may discover that one of your friends knows a great spot, based on photos from their last trip."

    Bing will also flag other topic "specialists," identified from their posts on Google's social network Google+, Twitter, Foursquare, LinkedIn and Quora.

    The feature will roll out shortly in the United States, according to Microsoft. The company did not comment about other locations.

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  • Facebook App Store Will Boost Popularity, Profit Is there anything Facebook can't or won't do to keep its massive user base happy?

    The social network giant just announced plans for a new Facebook App Store where Facebook friends can purchase games and other applications on its heavily trafficked site.

    The new Facebook App Store, which will be formally known as the Facebook App Center, will feature applications for web browsers, and be available via the Apple Inc. (Nasdaq: AAPL) iPhone, Android smartphones, PCs and tablets.

    The move will provide a platform for software developers to sell their products on the social site.

    With over 900 million users worldwide, the new Facebook App Center opens up an alluring venue for developers and entices the social networking Web site's scores of members to keep coming back for new, current and popular applications.

    Facebook's App Store is being launched in the midst of the company's highly anticipated, much-hyped initial public offering, expected on or around May 18.

    And the Facebook App Store in not merely in the works, it is set to roll out in the next few weeks.

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  • Facebook IPO Roadshow Continues without Retail Investors – and Zuckerberg Facebook Inc. (Nasdaq: FB) launched its roadshow Monday in New York, with planned stops at several prominent U.S. cities before the trip ends.

    Spotted sporting his trademark hoodie, 27-year-old CEO and founder Mark Zuckerberg was present at the heavily attended event in NYC.

    But on Tuesday, as hundreds herded into Boston's Four Seasons hotel, Zuckerberg was nowhere to be seen.

    "It's too bad Zuckerberg wasn't there. It was kind of disappointing," H. Scott Smith, senior equity analyst at Game Greek Capital, told the Boston Herald.

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  • Facebook IPO Price Range Values Company Near $100 Billion A Facebook IPO price range has been set, valuing the company at approximately $85 to $95 billon, The Wall Street Journal reports.

    Facebook has set a range for its initial public offering of $28 to $35 per share. At that price level, the social network giant would raise just over $10 billion.

    Those lofty numbers would put Facebook on the path to becoming the most valuable Internet company in the United States.

    The price range is surprisingly lower than what many industry analysts had expected. The consensus was closer to $40 per share.

    Greencrest Capital Management analyst Max Wolf told MSNBC that Facebook most likely subdued the price range for the storied IPO due to recently passive mood surrounding the markets.

    "It feels to me that as market sentiment gets less bright, people are getting more nervous," said Wolf.

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  • The Facebook IPO: What's Next We may be just two weeks away from the Facebook IPO.

    Retail investors waiting to get their hands on Facebook stock can do so May 18, according to a report from The Wall Street Journal.

    It's not final - dates commonly change with IPO debuts. Facebook is still in the process of finalizing its regulatory paperwork, and Facebook representatives refused to comment on the exact date.

    What we can expect next in Facebook's hotly anticipated IPO is its traveling "road show"... Read More...
  • Facebook Ventures Into New Territory with Organ Donor Status Facebook is now in the business of saving lives, with another change it hopes all of its members will move swiftly to "like."

    The social network behemoth announced Tuesday morning a plan to encourage its millions of friends to start advertising their organ donor status on their Facebook pages. Facebook hopes the status update will create a kind of gentle peer pressure that will urge its 161 million U.S. members to add their names to the list of registered donors.

    More than 114,000 people in the United States, and millions more worldwide, are waiting for life saving heart, liver or kidney transplants. On average, 18 die per day because there aren't enough organs for transplants.

    Facebook aims to change that.

    The status change is being rolled out first in the U.S. and the United Kingdom, where Facebook has some 30 million members.

    Plans are to add other countries in the coming months.

    Facebook CEO and founder Mark Zuckerberg said in a statement, "We never could have anticipated that what started as a small network would evolve into such a powerful tool for communication and problem solving."

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  • Profit Falls Ahead of Facebook IPO – Will Investor Interest Follow? Is this the first sign of trouble for the Facebook IPO?

    The social media giant, now in the final weeks before its long awaited IPO filing, announced Monday that first-quarter profit and revenue has slipped since the end of 2011.

    Facebook (Nasdaq: FB) disclosed in a regulatory filing that profit fell 32% from the previous quarter to $205 million. Revenue dropped 6% to $1.06 billion. Sales were up 45% -- slower than the 55% sales growth in the last quarter.

    Expenses surged on costs related to data center building and workforce growth as the company manages its increasing subscriber base that's climbed to 901 million users worldwide. Expenses soared to $677 million - nearly double what they were a year ago.

    Facebook also blamed the drop on "seasonal trends" in advertising and user growth in regions that bring in less revenue per subscriber.

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  • Facebook IPO Date: May 17 Might Be the Magic Day Here's some news devout Facebook followers and savvy investors are sure to "like" - don't write it in ink just yet, but looks like May 17 could be the Facebook IPO date.

    While Facebook (NASDAQ: FB) refused to comment, "multiple sources close to the company" say that is the date, according to TechCrunch.

    Ever since Facebook filed the necessary papers to go public in February, speculation has run rampant as to the exact timing. Late spring sprung up as the most likely time, but no precise date was set.

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  • Possible Dates Released for Facebook Stock to Hit Markets Possible dates have been released for the highly anticipated Facebook stock (NASDAQ: FB) to start trading, and if they're right the company could start its road show in less than a month.

    CNBC reported that investors could see the Facebook IPO priced by May 16 or 17, and start trading the next morning, according to an anonymous source familiar with the matter. The social media giant filed for its IPO Feb. 1.

    If this timeline comes true, Facebook will start marketing the deal May 7.

    A possible IPO delay could stem from Facebook's new $1 billion purchase of photo-sharing network Instagram. The U.S. Securities and Exchange Commission has to review the deal and could approve as early as the end of April.

    If the Instagram deal takes longer than expected to approve, Facebook could hold off pricing until May 23 or 24, CNBC reported.

    The Facebook road show is expected to last about 10 days, focusing on potential investors in New York, Silicon Valley and Boston, according to the source.

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  • Tech News: Facebook (NASDAQ: FB) Scores Big with Both AOL Patent Sale and Instagram Deal Facebook Inc. (NASDAQ: FB) topped the tech news today (Monday), benefitting from both a record-making deal with photo-sharing network Instagram, and an AOL Inc. (NYSE: AOL) patent sale.

    Facebook announced Monday it would pay $1 billion in cash and stock for photo-sharing app maker Instagram.

    The Instagram deal is Facebook's biggest ever in both price and reach. Instagram has more than 30 million active users - which it accumulated in just 18 months - the most of any startup that Facebook has bought.

    "We don't plan on doing many more of these, if any at all," Facebook CEO Mark Zuckerberg wrote in a blog post Monday, speaking to the size and scope of the deal. "But providing the best photo sharing experience is one reason why so many people love Facebook and we knew it would be worth bringing these two companies together."

    Instagram, the most popular way for iPhone users to take and share photos, was named iPhone app of the year in 2011. Its features allow picture takers to alter the size, color and style of photographs.

    The Android Instagram app debuted last week to a frenzied audience, with millions downloading the app immediately.

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  • Sorry, NYSE: Facebook (NASDAQ: FB) Will Trade on Nasdaq Investors finally have the answer to where Facebook Inc. will choose to list shares when the social media powerhouse starts trading this year.

    Say hello to NASDAQ: FB.

    Facebook had no comment as to why it chose Nasdaq. The news was reported in The New York Times citing a source speaking on anonymity.

    Facebook plans to raise up to $5 billion in its initial public offering (IPO), which it filed for Feb. 1. It's expected to start trading in May.

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  • Buy, Sell or Hold: The Real Winner in the Yahoo (YHOO) vs Facebook Fight Could Be Augme Technologies (AUGT) I love to find asymmetric risk/reward scenarios in the market.

    You can do that with a small company which has the ability to unlock a large payday - and I believe I have found one with Augme Technologies Inc. (OTC: AUGT ).

    To understand the value of mobile marketing company Augme, first we have to look at what Yahoo! Inc. (Nasdaq: YHOO) has done to Facebook.

    Ripples shot through the technology space last week when Yahoo launched an all-out patent assault against Facebook.

    Yahoo is demanding billions in licensing fees for the use of its technologies.

    Yahoo has asserted claims on patents that include the technical mechanisms in Facebook's ads, privacy controls, newsfeed and messaging service.

    In simple terms, Yahoo is getting ready to try and bring Facebook to its knees through legal means.

    "Yahoo has a responsibility to its shareholders, employees and other stakeholders to protect its intellectual property," a Yahoo spokesman said in an e-mailed statement. "We must insist that Facebook either enter into a licensing agreement or we will be compelled to move forward unilaterally to protect our rights."

    Should Yahoo sue Facebook, it would mark the first major legal battle among technology giants in the social media sphere.

    It would indicate a major escalation of patent litigation that has already swept up the smartphone and tablet sectors and high-tech stalwarts such as Apple, Microsoft and Motorola.

    Yahoo's patent claims come hot on the heels of Facebook's IPO announcement to raise money that would roughly give them a $100 billion valuation.

    This lawsuit threat can only have Facebook's management, its bankers and lawyers rushing to secure some sort of defensive arsenal to fight off this and other pending attacks.

    While this battle has captured everyone's attention, what I find more interesting is Yahoo's seemingly blatant hypocrisy.

    Yahoo appears to be throwing rocks from its glass house at the neighbors by wanting to make others pay for the unauthorized use of its patented technology.

    What Yahoo is seemingly trying to ignore is that it, too, has been accused of the same type of intellectual property theft - and the accuser is Augme Technologies.

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  • The Real Reason Mark Zuckerberg is Paying $2 Billion in Taxes on the Facebook IPO As the much-ballyhooed Facebook IPO looms closer, there's a mountain being made out of a molehill.

    Turns out 27-year-old founder and CEO Mark Zuckerberg may have a $2 billion tax bill that, according to a variety of sources, he intends to pay in full.

    He seems like a regular guy...or is he?

    To say I'm skeptical of his intentions would be an insult to actual skeptics. I think the "Zuck" is a great guy, but a regular guy? No way.

    He didn't build from scratch a business that has 845 million customers by being stupid.

    Zuckerberg goes to great lengths to project an aw-shucks kind of image. But in reality, this move is about as down-to-earth as Kim Kardashian's wedding. And it's every bit as sophisticated a play as I would have expected out of Larry Ellison or the late Steve Jobs.

    Zuckerberg (and presumably his advisors) knows that the stakes couldn't be higher than they are at the moment, which is why he wants to pay this tax bill and reinforce the illusion that Facebook is part of Middle America - instead of being built upon its back.

    He knows that successfully doing so will help him monetize your information when Facebook goes public.

    I say this because it's important to remember the only reason Facebook is worth anything is because users - people like you - have voluntarily, with no compensation whatsoever, assembled the greatest single collection of marketing data in recorded history. That's right. Your data is going to make him rich.

    So where are all the privacy advocates now?

    I'd love to see what Facebook's proposed valuation would be if 845 million people suddenly decided they really don't want to share their most intimate moments with friends or decide they don't really want to "like" anything.

    And why hasn't the Occupy Wall Street crowd or the Tax the Rich bunch latched onto this?

    Because evidently none of them can spell h-y-p-o-c-r-i-s-y. And many are probably too busy using Facebook to "meme" about their activities to pay attention anyway.

    But that's really beside the point.

    A Zuckerberg Tax? ...Give me a Break

    There should be a huge amount of backlash, but there isn't. Well, unless you count any number of proposals like the "Zuckerberg Tax" advanced last Tuesday in a New York Times OpEd piece by tax lawyer David Miller.

    Miller advocates allowing the government to claw back money from the ultra-wealthy. He believes that individuals earning more than $2.2 million in income or having more than $5.7 million in securities should have their stocks marked to market and taxed even if they haven't sold their investments.

    That's asinine.

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  • Buy, Sell or Hold: When to Buy Shares of Facebook You might have heard....

    Facebook Inc. (NYSE: FB) is the most awaited initial public offering (IPO) since Google Inc. (Nasdaq: GOOG).

    The recent registration of the company's IPO documents means it won't be long until Facebook shares begin trading freely.

    But will Facebook shares make you rich beyond your wildest dreams like mural painter David Choe?

    Or would you be better off watching from the sidelines before you buy shares of the social media giant?

    The Details behind the Facebook IPO

    Here's what I've learned from Facebook's S-1.

    Some of the data points buried in the IPO document are eye-opening, to say the least.

    Chief among those are Facebook's assertion that 6% to 7% of the entire world population logs in every day. More importantly, they stay logged in for a significant amount of time.

    However, what will happen in the future to drive the stock's share price after it's brought to market is buried deeper in the details.

    It's these details that make Facebook's IPO a hold if you already own shares, but also a "wait to buy" if you are like most people and want to own them.

    In a nutshell, what I've learned is the banks are bringing Facebook to market fully priced.

    My opinion is the bankers have gotten greedy and decided to push the valuation numbers above the levels that I believe are sustainable.

    The company is being valued at $75 billion - $100 billion dollars at launch. This would make it one of the most valuable companies in the world, yet its actual revenue, let alone profitability, is at a more mundane level.

    Currently, Facebook is reporting about $4 billion in revenue and profits of $1 billion.

    That means if Facebook prices in at the top of its estimated range ($100 billion), based on current disclosures it would have a 100-to-1 price to earnings (P/E) ratio.

    In other words, it's only going to take about 100 years for Facebook to eventually earn what it may price at. Compared to other blockbuster stocks, that's quite rich.

    By comparison, Apple Inc. (Nasdaq: AAPL) has $100 billion in cash and a P/E ratio of 11 while Google's P/E is 20.

    That's why it's time to "Hold" Facebook (**) or wait to buy it until insiders get a chance to sell their shares and bring the price down to levels common people can realistically afford to purchase.

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  • NYSE: FB vs. Nasdaq: FB, And the Other Big Facebook IPO Questions Investors were on high alert today (Wednesday) for a Facebook IPO, which has rumored to reserve both NYSE: FB and Nasdaq: FB as possible ticker symbols.

    A New York Post article reported the two listing companies were in "hot debate" for Facebook.

    "Facebook won't significantly change the listing revenues for these companies but there could be a real halo effect wherein other companies decided to list with whichever wins Facebook," Larry Tabb, founder of capital markets advisory firm Tabb Group, told The Post.

    Besides the ticker, the biggest questions on investors' minds include:

    How much does Facebook want to raise? The latest rumors say the filing will set a preliminary goal of $5 billion, which can be raised if enough investor interest is shown.

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