Facebook Share Price Target Cut on ‘Growing Global Scrutiny’
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Facebook Inc.’s price target was slashed to $170 from $215 at Needham on Friday, which cited a number of potential headwinds, including "continued margin pressure (and headline risks) in the U.S. tied to data protection efforts." Facebook is down 0.4 percent pre-market 3,500 shares.
There are "rising risks associated with growing global scrutiny, which may drive additional litigation costs and/or regulatory oversight," analyst Laura Martin wrote to clients. She also cited the outlook for "minimal" earnings growth in 2019 and 2020, along with slower growth in Europe and a risk of higher taxes in France.