3 Things Facebook Investors Need to Know Ahead of Its Earnings Report
When the coronavirus pandemic first led to local governments' stay-at-home orders, usage of social media apps exploded worldwide. Still, that did not necessarily lead to increased revenue for those companies, as one might expect. Facebook (NASDAQ: FB) and other social media companies earn the vast majority of their revenue from advertisers. But spending more time on their platforms is not necessarily beneficial if marketers are not interested in buying ads because services are shut down for a pandemic.
People are starting to venture out more often and are not spending as much time at home surfing the web as when the coronavirus pandemic first started. As a result, they are using Facebook and its family of apps less frequently but advertisers are starting to buy ads again too as a result. That might have a surprising effect on Facebook's results when it reports earnings on Oct. 29.
Here are three crucial metrics to watch when it releases the report.
Source Fool.com
