Is Facebook Stock a Buy? | The Motley Fool

The social media company remains a polarizing investment. Key Points Apple’s iOS update is throttling the growth of Facebook’s ad business. But Facebook’s family of apps continue to gain new users. The stock still looks undervalued relative to its growth potential. Facebook (NASDAQ:FB) posted its third-quarter earnings on Oct. 25. The social media giant’s revenue rose 35% year-over-year to $29.01 billion, but still missed estimates by $510 million. Its earnings increased 19% to $3.22 to per share, which beat expectations by a nickel. Facebook’s stock rose slightly after the report, and remains up about 20% for the year. The market’s calm reaction to Facebook’s revenue miss was starkly different from Snap’s (NYSE:SNAP) post-earnings crash on Oct. 22. Image source: Facebook. Let’s see why Facebook held onto its gains after its mixed earnings report, how the company plans to address its biggest challenges and controversies, and if its stock is still worth buying as a long-term investment. Stable growth amid platform challenges Last quarter, Facebook warned that Apple’s (NASDAQ:AAPL) iOS update, which allowed users to opt out of data tracking features across all apps, could throttle its ad revenue growth in the second half of the year. But despite those challenges,…
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