This Could Hurt Facebook Inc (FB) Stock In The Long Run

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How Facebook Can Succeed

Facebook Inc (NASDAQ:FB) needs to focus on its core – social media. Only one company, Berkshire Hathaway Inc. (NYSE:BRK.A), has been consistently successful in pursuing unrelated diversification. It is a rarity.

I have highlighted the most prominent social media platforms as of September 2016.

(Source: Statistica (2))

The numbers do not lie with Facebook Inc (NASDAQ:FB)’s social media platforms. It needs to focus on these areas, not gaming. Just ask Microsoft Corporation (NASDAQ:MSFT). Even though they have been into gaming for a while, they still cannot manage to ink a decent profit. However, when Microsoft got back to its PC business, profits began to increase. It linked the cloud, mobile, and PC together to form an integrated ecosystem. The same integration occurred with Facebook’s social media acquisitions. The VR move appears difficult to integrate into the Facebook ecosystem.

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The article This Could Hurt Facebook Inc (FB) Stock In The Long Run originally appeared on amigobulls.com. Watch our analysis video on FB

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Additional Links:

(1) http://www.pcmag.com/article/342537/the-best-virtual-reality-vr-headsets

(2) https://www.statista.com/statistics/272014/global-social-networks-ranked-by-number-of-users/

(3) http://amigobulls.com/stocks-to-buy/top-tech-stocks/?ref=il&ref=im

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