Today I doubled my position in Facebook from 8 to 16 shares, by purchasing 8 Facebook shares at $176,40.
It’s the 3rd time I buy Facebook shares:
1st purchase: 4 shares @ $162,71
2nd purchase: 4 shares @ $187,52
3rd purchase: 8 shares @ $176,40
The shares of Facebook are today almost 20% down as reaction on the 2nd quarter figures. I decided to increase my position in Facebook, because I still believe in the cashflow generating posabilities of Facebook. At the end of Q2 Facebook has 15,5 billion in cash and 30,7 billion in marketable securities.
The net cash provided by operating activities over the first 6 months of 2018 is 14,2 billion.
Despite slower than expected growth, expected by Facebook, I still believe in the cash generating capacities of Facebook. I started my inital position in Facebook with the idea that the cashflow generating ability is strong and it could potentially be a good dividend stock if ever Facebook decides to use the cashflow to payout a dividend.
I decided to be speculative and buy 8 more shares of Facebook. Just as dividend stocks I see this as an investment I will keep for many years.