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So many tech stocks are down because of Facebooks “devastating” loss. It’s stupid, the fundamentals of these companies hasn’t changed, some are even better than

So many tech stocks are down because of Facebooks “devastating” loss. It’s stupid, the fundamentals of these companies hasn’t changed, some are even better than ever. Buy the dip.

codingdave 8y ago
But if the fundamentals haven't changed, what criteria are you using to decide that this is a dip vs. the past 3 months being a spike? I'm no expert, but a quick glance at the chart looks like they dipped below their 200 day average in March, which resulted in a spike as people bought in, and now it has corrected after less then expected earnings.Yes, it is 10 points under the current 200 day average, so maybe it is a little under-priced, but I don't see anything that guarantees that this is a dip.
dplgk 8y ago
User growth is not a fundamental? If you're talking traditional fundamentals, then it was always overpriced.
JumpCrisscross 8y ago
Facebook slowing means Facebook’s acquisitions slow. That impacts the broader ecosystem.
megaman22 8y ago
When that story originally came out this week, somebody crunched the numbers of the percentage of target-age internet users that actually exist, taking out China and other places where Facebook is blocked, and users too young to actually consent to be on there. I can't find it now, but Facebook's user numbers were approaching saturation. So there's not really anywhere to go for exponential user growth, unless you admit that most of your users are bots, and that it's a stupid metric. At some point everyone who wants a Facebook account has one.
fullshark 8y ago
Why were they not overpriced before and now only misspriced, when we have more information?