Consider ~10B loss in reality labs IN PERPETUITY (btw they did >2.5B in 2021 but w/e assume 10B loss). The stock remains extreamely attractive.
most of the R&D spend is still in core business (they spend 27B in R&D, 10B in RL). Despite this enormous spend their net margins is 30%. 30 fucking %. It is the best among big tech.
“BuT i ThiNK METaVErSE is A FloP”
Who cares. Let it flop. Meta remains extreamely cheap. If it flops, good at least no more 10B spend, If it works out, good Meta owns the space. What else do you want? It is the best case scenario.
BUUUT BUTTT BUTTT FACEBOOK IS DEAD I NEVER USED IT FOR THE LAST 5 YEARS.
yeah? really? why are DAUs not dropping in US/CA. Why are DAUs/MAUs growing worldwide? Data matters, not your personal stupid feelings.
I am bagholding those shares and will until the market realizes how stupid they are.
BUT TIKTOKKKKK!!!!! BUTTT APPLE IDFA CHANGESSSSS
Tiktok is a non-issue. I even believe it's gonna get banned one day (china will eventually invade taiwan). But even if it's not banned. Tiktok google search trends have peaked in the US. The astronomical growth is over. IG/FB has it's place in the market and Facebook ARPU growth is epic.
Apple? Lol. CPMs are back to pre-covid era. Think about it this way. in 2021 Facebook grew 37%. Q1 2022, they kept that growth, DESPITE IDFA, DESPITE TIKTOK. They did not slow down, THEY KEPT THE GROWTH COMPARING TO A YEAR WHERE IDFA HAS NO EFFECT.
Apple IDFA will overlap in Q3. I bet Meta will post higher (~15%) growth when they overlap the changes. Meta AI is a world class AI team and recently Zuck made them closer to the product (less research more product that produces $$$)
This is just a rant, don't take it seriously. Idc what you do with your money.
Extreamely long Meta.
This is not even considering India's opportunity (~8% gdp growth. Litteraly the next China) and WhatsApp monetization (WA cloud API is seeing a lot of traction. Zuck mentioned it during Cramer Interview)
Leave a Reply