Saxo Group Videos

Garnry: Buy Facebook, sell Twitter

Buy Facebook, sell Twitter. That’s the suggestion from Saxo’s Peter Garnry on the social media stocks. Facebook’s third quarter earnings are out later on Tuesday and there are great expectations.

Garnry says the market expects earnings per share of 40 cents which would take profits up 140% from last year. "That's amazing growth," he says with 50% increase expected in revenue alone. But he thinks there is a chance that Facebook could beat even these estimates and that the share price will go higher.

Garnry is not so positive about Twitter which he says is not seeing the same sort of aggressive user growth. He points out that Facebook has a 20% market share in desktop and mobile, unlike Twitter. His advice? Short Twitter.

Overall US tech stocks look favourable says Garnry especially Microsoft and Google. But he warns about Amazon and IBM both of which have disappointed on sales.

03:33 minutes
Tags: amazon, amazon delivery, amazon earnings per share, amazon growth, amazon investment, amazon profit, amazon profits, amazon sales, amazon sales growth, amazon shares, amazon.com, equities, equities saxo, equities trading, equity, equity bubble, equity market, equity markets, equity portfolio, equity portfolios, equity strategy, equity trading, facebook, facebook eanings, facebook earnings per share, facebook excitement, facebook investors, facebook profit, facebook revenue, facebook share price, facebook shares, facebook stock, facebook subscribers, facebook trading, facebook twitter, facebook users, ibm, ibm shares, ibm stock, investing, investment, investment strategy, investors, microsoft, microsoft earnings, microsoft investment, microsoft profits, microsoft share price, microsoft shares, saxo, saxo bank, saxo bank saxo tv, saxo bank trading floor, saxo bank tradingfloor.com, saxo tv, saxo tv saxo bank, saxo tv trading floor, saxo tv tradingfloor, saxo tv tradingfloor.com, saxobank, saxotv, tech, tech companies, tech firms, technical analysis, technology, trading, tradingfloor, tradingfloor.com, tradingfloor.com insights, twitter, twitter growth, twitter money, twitter pricing, twitter profit, twitter profits, twitter share, twitter share price, twitter shares, twitter valuation

Switch to