Meta Platforms Inc (META)

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Facebook rallies: Evercore raises PT, new ad product launched
11:09 AM ET · FB

Evercore's Ken Sena has raised his Facebook (FB +2.5%) PT to $60 from $45, and thinks Instagram (about to launch its first ads) could generate $340M in 2014 revenue (~3% of Facebook's total sales).
Sena also sees Facebook's efforts to deliver targeted ads using data about non-Facebook activity yielding "additional pricing strength" and creating offline commerce opportunities, and calls pricing checks "exceptionally strong."
He observes Facebook's 2012 U.S. ARPU was only $13 - its 2013 figure will doubtlessly be higher - less than Yahoo's $18 and the New York Times' $20, and far below Gannett's $48 and Google's $80.
Separately, Facebook has updated its Custom Audiences platform, which thus far focused on enabling targeted ads based on offline activity, to allow marketers to deliver news feed ads based on Web site/app activity.
Facebook asserts the new ads are complementary to those enabled by its FBX Exchange (also deliver retargeted ads). It's pitching the former to "businesses that don’t typically work with third parties," and the latter to larger firms.
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