While Facebook Inc (NASDAQ:FB) wraps up another tough week with nearly 6% plunge in its share prices since 5th October, the social networking firm has won some points in new surveys of folks that mean something to Wall Street, especially teenagers.
A survey including 7,700 teens in the US has ranked Facebook as their most significant social networking hangout. Twitter followed up and so did photo-sharing service Instagram, as per Gene Munster, an analyst at Piper Jaffray. Facebook owns Instagram and that is another plus point for the company.
Munster repeated his overweight rating on Facebook and has concluded it remains well positioned to keep up its spot as the top social networking site even through it is facing competition from Twitter.
On the down side, Piper’s survey involving the teens revealed that mobile gaming is as unpopular among teens as it has ever been. Analysts have cut their ratings for Zynga to neutral this week.
Sterne Agee has joined the market research party on Facebook. It said that a survey involving more than 750 Facebook users has exposed that average 18-29 year old members are spending equal time on Facebook as they used to do six months back, even through the number of ad s have increased since then.
However, an analyst at Sterne Agee, Arvind Bhatia has pointed out that a mere 33% of Facebook’s mobile users said that they are immensely content with the service. Bhatia said that considering the fact how important mobile is to the future of Facebook, he believes that the percentage of ‘extremely satisfied’ feedback needs to improve.
Even though several folks are 29 and younger still remain a challenge on the income front, Facebook still manages to get all the attention, even more than Twitter.
The ability of the company to reach out to the younger audience, who are valued by marketers, aids its prospects of growth in terms of revenue, profits and advertising.