How to Make Money from Facebook Stock

One of the best performing stock under my portfolio is Facebook.

Facebook is the top and biggest social media platform in the world.

The Company's products include Facebook, Instagram, Messenger, WhatsApp and Oculus.

Based on Statista website, as per January 2021, Facebook still ranked as the most popular social networks in the world.

Investing in Facebook Stock

For Quarter 1 2021, the performance is exceptional.

The performance has beaten all analysts expectation.

It seems that advertising revenue has grown 46% for the past 1 year.

Revenue hit USD$ 25 billion.

The growth story has been sustainable thus far.

Here is the financial highlights.

First Quarter 2021 Financial Highlights

First Quarter 2021 Operational and Other Financial Highlights

• Facebook daily active users (DAUs) – DAUs were 1.88 billion on average for March 2021, an increase of 8% year-over-year.
• Facebook monthly active users (MAUs) – MAUs were 2.85 billion as of March 31, 2021, an increase of 10% year-over-year.
• Family daily active people (DAP) – DAP was 2.72 billion on average for March 2021, an increase of 15% year-over-year.
• Family monthly active people (MAP) – MAP was 3.45 billion as of March 31, 2021, an increase of 15% year-over-year.
• Capital expenditures – Capital expenditures, including principal payments on finance leases, were $4.42 billion for the first quarter of 2021.
• Cash and cash equivalents and marketable securities – Cash and cash equivalents and marketable securities were $64.22 billion as of March 31, 2021.
• Headcount – Headcount was 60,654 as of March 31, 2021, an increase of 26% year-over-year.

Facebook stock was trading about USD$307 per share.

After the earnings report was announced, the stock shoot up by about 7% to USD$328.90 per share after market closed as of 29 April 2021.

For those investors that have been holding this stock for the long term, they have been richly rewarded.

Trading Facebook Stock

Besides invest for the long term, I also trade Facebook stock.
I trade using options(derivatives).
I used options because the risk is more manageable for me.

I mainly used cash secured put.

Below are some of the realized profit for the past 11 Facebook trades that I took.

Earned about USD 1,578 so far.

Do you plan to invest or trade Facebook share any time soon?

Share to us your thoughts.

Happy Investing! 😉

Reference:

https://investor.fb.com/investor-news/press-release-details/2021/Facebook-Reports-First-Quarter-2021-Results/default.aspx

https://s21.q4cdn.com/399680738/files/doc_news/Facebook-Reports-First-Quarter-2021-Results-2021.pdf

https://www.youtube.com/watch?v=tPYzGGXIWGM

https://simplywall.st/stocks/us/media/nasdaq-fb/facebook

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

https://www.visualcapitalist.com/map-facebook-path-social-network-domination/