$FB lost more than 30% in Market Cap following its latest earnings call back in February, mainly due to the low revenue guidance provided for Q1 2022 (growth of 3%-11%), headwinds from competition, shift of engagement from feed and stories to reels as well as iOs tracking changes.

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Despite this, $FB applications possess one of the greatest network effects (screenshot below) with 3 applications in the top 5 in terms of monthly active users. In addition, the current valuation multiples seem very appealing with P/E of 15.4 vs a 5-year average of 29.7, Price/Cashflow of 10.5 vs a 5-year average of 19.8 and EV/EBITDA of 9.9 vs a 5-year average of 18.9 (data per Morningstar).

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Disclaimer: Not a financial advice. We are long $FB