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Noteworthy ETF Inflows: IVV, JNJ, UNH, FB

4 years 4 months ago
Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares Core S&P 500 ETF (Symbol: IVV) where we have detected an approximate $2.2 billion dollar inflow -- that's a 0.7% increase week over week
BNK Invest

2 Green Flags for Amazon's Future

4 years 4 months ago
Amazon (NASDAQ: AMZN) is having a challenging time adjusting to the reversal of the e-commerce surge it experienced at the pandemic's onset. Now that billions of people have been vaccinated against COVID-19, and people are, by and large, less concerned about social distancing, th
The Motley Fool

Supreme Court Decision Prompts a Sigh of relief for Social Media Stocks

4 years 4 months ago

The state law that allowed Texas residents to file a lawsuit against social media companies for content moderation and removal has been blocked by the U.S. Supreme court. 

What exactly is this law? Texas House Bill 20 or HB20 prohibits social media platforms with at least 50 million active users in the United States from censoring users based on their viewpoint.

Notably, large social media platforms, including Meta (NASDAQ: FB) owned Facebook and Instagram, Alphabet (NASDAQ: GOOGL) owned YouTube, and Twitter (NYSE: TWTR), are often accused of unfair moderation and being biased. Further, the lack of transparency for removing content and account suspensions was a matter of concern. Last year, HB20 was passed to combat these issues.

What It Means for Social Media Giants

The blocking of HB20 brings some respite for these social media companies as its enforcement would have increased their legal and regulatory risks. 

Per the TipRanks Risk Factors tool, legal and regulatory risks are one of the top risk categories for these companies. For context, looking at Meta’s risk distribution profile, legal and regulatory risks accounted for 22% of its total risks. Moreover, it is well above the sector benchmark of 15.8%.  

As for Alphabet, legal and regulatory risks account for 23% of its total risks, even higher than the sector average.

Meanwhile, for Twitter, the legal risks account for 14% of the total risks, which is lower than the sector average. 

Bottom Line

The global operations of these large companies put them under a lot of supervision. Meanwhile, complex international laws and regulations directly impact their operations and could lead to litigation and monetary damages. Thus investors should also keep an eye on the emerging risk factors of these top social media companies. 

Notably, TipRanks’ Risk Factors tool allows users to quickly keep track of the changing risk scenario of these corporations, which in turn, helps them make more informed decisions and reduce potential losses.

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TipRanks

3 Trends That Suggest Crypto Market Will Grow

4 years 4 months ago
Stuart Popejoy, Co-Founder and CEO of Kadena, talks about the three trends that show the crypto market is poised for continued growth, as well as how crypto investors may want to evaluate stablecoin Terra’s recent crash.
TradeTalks

Better Metaverse Stock: Broadcom vs. Meta Platforms

4 years 4 months ago
Broadcom (NASDAQ: AVGO) is a chip company that has traditionally thrived on customer relationships. These partnerships have led to innovative products, such as the wi-fi hotspot built into Apple's iPhones and Alphabet's artificial intelligence chip.
The Motley Fool

4 Reasons to Be Concerned About Meta Platforms Stock

4 years 4 months ago
Meta Platforms (NASDAQ: FB) is experiencing a challenging year. Apple's privacy changes limit its ability to deliver targeted advertising, while supply chain disruptions are decreasing business demand for advertising. Rising digital advertising inventory is taking marketing budge
The Motley Fool

Snap Stock: Bear vs. Bull

4 years 4 months ago
Snap's (NYSE: SNAP) stock recently dropped below its IPO price of $17 after it unexpectedly cut its second-quarter guidance on May 24.In its first-quarter earnings report on April 21, Snap had predicted its revenue would rise 20% to 25% year-over-year in the second quarter, and t
The Motley Fool
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