Facebook Inc diversification strategy.

How much Facebook Inc share could cost? Currently price per share in $232 per share. But recently Goldman Sachs increased expected share price to $250 per share. Here’s why?

Facebook Inc is a giant company that stores users’ private and public data. As we all know “data is a new gold”. Facebook knows about users too much of information just because users willing to share that data (name, location, friends list, close friends, status, relationship, pictures, education, achievements, travel history, etc). But Facebook + Instagram use algorithms to predict users preferences and to show relative content. Facebook owns WhatsApp and in process to make it as useful as WeChat. 

Obviously data breaches happen regularly as well and government investigation in user’s privacy policy. Despite everything, since it’s IPO in 2012, shares gained more than 500% and it’s financial performance has improved every year. Facebook main revenue stream is advertisements but Company try to make incorporate another revenue streams via investments worldwide. Two months ago Facebook invested $5.7 billion in Jio by Reliance (India’s fastest growing and the biggest telecommunications services provider). Facebook debt is low comparable to company size but cash pile is $60+ billion  is impressive.

Company’s future is into diversifying into fintech and generating enormous revenue from ads.

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