The social-networking firm's ability to turn traffic (both mobile and Web) into revenue continues to improve, with ad sales posting a 61% gain, says Morningstar's Rick Summer.
Recent acquisitions of Tekelec and Acme Packet leverage the company's wide moat.
Investors should wait for a wider margin of safety before buying Yahoo shares, says Morningstar’s Rick Summer.
Improving advertising and user engagement metrics in the third-quarter underscore the attractiveness of Facebook shares, says Morningstar's Rick Summer.
The firm's results brought hand-wringing from the market, and a changing business mix may pressure Google's long-run operating margins, says Morningstar's Rick Summer.
We're curious about the spike in revenue costs, but we'll have better information and will publish a more detailed analysis after Google's conference call.
While we continue to be cautious and expect deceleration in revenue growth and contraction in operating margins, the stock is close to a level where we would recommend considering an investment.
Following the social-networking firm's quarterly results and the challenges it faces during the next several quarters, investors could see an attractive entry point for the stock soon, says Morningstar's Rick Summer.
Facebook has a wide economic moat based on its 'social graph,' communications layer, and competitively advantaged platform for brands, application developers, and advertisers.
The social-networking giant's trove of data on its users is its ace in the hole as the firm races to develop new revenue streams.
We remain concerned that Yahoo may choose to allocate capital to areas that offer no competitive advantages but merely provide a near-term revenue boost.
Why we aren't applying for this IPO.
The Internet bellwether's fundamentals are still in place, and management's long-term view will ultimately generate strong shareholder returns, says Morningstar's Rick Summer.
Potential investors in the newly public social game maker should consider four critical challenges before playing with the stock.
Barring significant innovation, we expect Groupon's lack of a durable competitive advantage to become more obvious over the next two years.
Investors should pass on this Daily Deal.
Results show the firm's core business is resilient despite competition from Facebook and Yahoo.
As a stand-alone company, it's unlikely that Yahoo would have the ability to dramatically change its fortunes.
The firm's first-mover advantage may not be enough.
We size up the online coupon giant's S-1 filing ahead of its planned IPO.
Software investors don't need to look for the next big thing to find opportunities.