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Financial analysis of facebook inc

Anonim

Facebook's mission, founded in 2004, is to give people the power to create community and bring the world closer together. People use Facebook to keep in touch with family and friends, to discover what's going on in the world, and to share and express everything that interests them.

Facebook management uses multiple tools to manage Facebook integration such as easily creating and offering posts, managing conversations and generating relationships, analyze your performance on Facebook, easily customize access and management of pages for team organization and pages that suit your needs, in addition to managing the smart inbox that allows you to gather Messenger messages, identify your best content and maintain productivity with intuitive workflows.

Facebook has a central office in Menlo Park, California 9402, in addition to different offices in various parts of the United States such as Atlanta, Austin, Boston, Chicago, Dallas, Detroit, Denver, Los Angeles, Miami, New York, Pittsburgh, Seattle, Washington DC

This industry is confirmed by 35,587 employees as of December 31, 2018. This represents a very large workforce worldwide. It also has 1,520 million active users per day on Facebook on average in December 2018, and 2,320 million active users per day as of December 31, 2018.

Facebook behavior (2013-2019)

Facebook Inc Behavior

As observed in the graph of the last 5 years, the performance of the company has been quite good and promising, it has had very important increases since 2013. The price per share until this year is almost 194 dollars; However, the stock obtained a drop in early 2019 due to a lack of security and privacy matters.

Facebook Inc Financial Summary

Statement of income:

The income statement is divided from March 2018 to December of the same year, it has a gross margin of 83.25%, operating margin of 44.62%, net margin of 39.6% and returns on equity of 25.55%, these percentages are calculated annually. Total net sales (calculated quarterly) have been on the rise, this is due to the number of shares the company generates and the number of active users found on the platform.

Balance sheet:

Balance sheet Facebook inc.

In the total assets of Facebook we can see the increase in the last year, from March 2018 to December of the same year. On the other hand, stockholders' equity has been increasing from March to December 2018, which shows us economic stability. Facebook does not have an acid test, which is used to measure a company's liquidity and ability to pay, this means that the company has no short-term liability. Finally, Facebook does not have total debt to capital, it identifies itself as a company with strong capital when carrying out its operations and investors who know the industry, line of business and state of development where they frequently seek to make investments in the company.

The cash flow per share of Facebook, is in charge of measuring the company's cash flow that is indicated to each of the shareholders, the so-called Cash Flow is 8.37 in the last year. Earnings per share in the last year are likewise $ 20.32 per share. Finally, the operating cash flow, which refers to the amount of cash generated by the company that comes from its operations and has a total of 93.94%.

Bibliography:

  • https://ltam.newsroom.fb.com/company-info/https://mx.investing.com/equities/facebook-inc-financial-summaryhttps://www.revistagq.com/noticias/tecnologia/articulos/ why-facebook-falls-into-a-dive-bag-wall-street / 30236
Financial analysis of facebook inc