Tag Archives: request

Google, Facebook ‘Digital Duopoly’ Seen With 67% Of Mobile Ad Market

Alphabet ( GOOGL ) unit Google and Facebook ( FB ) hold a firm grip on the digital advertising market, especially mobile advertising, says a MoffettNathanson report. Google and Facebook drove over two-thirds of the industry’s growth in 2015, says the MoffettNathanson report.  Alphabet-controlled Google and Facebook now hold 54% of the U.S. digital ad market, up from 43% in 2010, said Michael Nathanson, an analyst at MoffettNathanson, in the report. “We can’t think of any other media market place with this level of dominance,” he added. Facebook and Google have 67% of the mobile advertising market, says Nathanson. The analyst has buy ratings on Alphabet and Facebook and a neutral rating on Twitter ( TWTR ). Twitter has gained little ground in social media advertising, said Nathanson. Privately held Snapchat and Pinterest have emerged as competitors to Facebook, he says. Nathanson’s conclusions are based on the Interactive Advertising Bureau’s 2015 Internet advertising revenue report. “Given Facebook’s and Google’s domination in key digital verticals like mobile, social, and search, it’s hard to imagine the digital ad engine meaningfully slowing anytime soon,” said Nathanson. “Social advertising comprises over 70% of all of display’s growth… and Facebook has 65% share of social,” he added. Alphabet, Facebook and Twitter were all down modestly in pre-market trading in the stock market today , reflecting weaker stock futures.

Qualys Q1 Tops, But Stock Falls Late On EPS Outlook; Appoints CFO

Qualys ( QLYS ) stock toppled late Monday after the cybersecurity firm beat Q1 expectations but missed current-quarter earnings views and announced the appointment of former Zynga exec Melissa Fisher as CFO. Fisher succeeds Don McCauley, who in January announced his resignation, effective March 1. Besides CFO, Fisher served as an executive in financial planning and analysis, investor relations and treasury roles at social-gaming firm Zynga ( ZNGA ). Qualys stock was down more than 3.5% in after-hours trading after the company released its earnings report. For Q1, Qualys reported a record $46.2 million in sales and 21 cents earnings per share minus items, both ahead of the consensus estimates of 16 analysts polled by Thomson Reuters. Sales and EPS were up a respective 23% and 40% vs. the year-earlier quarter, vs. the consensus for $45.1 million and 15 cents. Results crushed the firm’s earlier view for $44.7 million to $45.4 million in sales and EPS ex items of 14-16 cents. For the current quarter, Qualys guided to $47.6 million to $48.3 million in sales and 15-17 cents EPS ex items, up 20% and flat, respectively, from the year-ago quarter. Sales met at the midpoint, but EPS missed analysts’ model for 18 cents. Qualys stock is down 21.5% for the year.

Baidu Stock Tumbles As China Launches Probe Over Student’s Death

China’s Internet regulator said it will team up with the national health commission and another agency to probe Baidu ( BIDU ) over the death of a university student who had used the Chinese search engine to look for treatment for his cancer. The 21-year-old university student, Wei Zexi, died last month of a rare form of cancer, Reuters reported . Wei had posted criticism online accusing Baidu of promoting false medical information, as well as the hospital for misleading advertising in claiming a high success rate for the experimental treatment, state radio said. Baidu said it would fully cooperate. In 2010, China’s state-run television accused Baidu of promoting counterfeit drugs through its search engine. U.S. shares of Baidu fell 7.9% in the stock market today , to 178.91. Shares fell through their 50-day moving average, but found support just above the 200-day line. Baidu stock broke out of a cup-with-handle base with a 197.60 buy point on Friday, hitting a four-month intraday high of 201. But the stock has now undercut that entry area.