Facebook target raised to $185 at Needham
Needham raises their FB tgt to $185 from $165 as user growth has outpaced firm's ests and their channel checks indicate more robust advertising revenue growth than they previously projected owing to more video ads (i.e., higher CPMs), faster Instagram revenue growth, and lower competition from SNAP than they had previously projected. Firm now believes FB is becoming the de facto near-monopoly mobile choice for brands and direct response (i.e., lead-gen) advertisers. FB will report 2Q17 earnings on Wednesday, July 26, 2017 after the market closes and will host a conference call at 5 pm ET.