Facebook Needs A.I., But Is A.I. Ready?
Facebook is indisputably one of technology’s biggest companies, boasting an average of 1.56 billion daily active users across it and its Instagram, WhatsApp, and Messenger family of apps in March 2019, with sixty-six percent of total users being considered daily, rather than monthly, active users. That massive user base contributed to a 61 percent increase in profits during Q4 2018, to $6.9 billion.
While the company is more profitable than ever, it is not immune to criticism. Recent times have seen Facebook taken to task for a string of issues, including data impropriety, controversial and dangerous user-posted content that results in real-world consequences, and privacy concerns. Facebook has always employed moderators to evaluate flagged content, but manually sifting through and vetting mountains of material from its worldwide user base has proven an impossible task, leading Facebook to double down on artificial intelligence to achieve better serve their platform.
The adoption process has not been without friction. Artificial intelligence relies on human-programmed algorithms to perform specific functions, making it susceptible to bias, intended or otherwise. A recent Wired report detailed Facebook program manager Lade Obamehinti “[discovering] that a prototype of the company's video chat device, Portal, had a problem seeing people with darker skin tones” before rectifying the problem – a byproduct of underrepresentation of “women and people with darker skin…in the training data.” This led to the AI algorithm misidentifying those groups in greater numbers than those from a larger data set.
AI bias is on the radar of leading researchers, who have “raised the alarm about the risk of biased AI systems as they are assigned more critical and personal roles.” The mitigating bias remains vitally important for a company like Facebook, which needs AI to work at scale while being conscious of its real-world repercussions. The company recently “deployed a content filtering system to identify posts that may be spreading political misinformation during India’s month-long national election,” flagging posts “in several of the country’s many languages” for human moderators to review. It and similar fake news-curbing initiatives using crowdsourcing are especially susceptible to uniformity of opinion and background, raising the stakes to get things right.
AI may be advancing in efficacy and usefulness, but it still needs human guidance and oversight to work ethically, eliminate bias, and identify its shortcomings. “When AI meets people,” explained Obamehinti, “there’s an inherent risk of marginalization.” Though the process lacks “simple answers” (in the words of Facebook CTO Mike Schroepfer), efforts are underway at Facebook to tackle potential issues. Obamehinti’s discoveries have spurred “new tools and processes to fend off problems created by AI,” with subsequent new “[processes] for inclusive AI…being adopted by several product development groups at Facebook.” With increased awareness, Facebook hopes to continue reaping the benefits of AI without promulgating its downsides.
If You’re Wondering When A.I. Will Start Making Market Predictions…
Guess what – it already is. Hedge funds and large institutional investors have been using Artificial Intelligence to analyze large data sets for investment opportunities, and they have also unleashed A.I. on charts to discover patterns and trends. Not only can the A.I. scan thousands of individual securities and cryptocurrencies for patterns and trends, and it generates trade ideas based on what it finds. Hedge funds have had a leg-up on the retail investor for some time now.
Not anymore. Tickeron has launched a new investment platform, and it is designed to give retail investors access to sophisticated AI for a multitude of functions:
- Finding stock patterns in the market
- Finding trends in the stock market
- Testing portfolios to see if they are well-diversified
- Back-testing statistics to see how different stock patterns generated trading results
- Making Predictions for price movements in the future, with “A.I. Rank” and level of confidence in the trade.
And much more. No longer is AI just confined to the biggest hedge funds in the world. It can now be accessed by everyday investors. Learn how on Tickeron.com.
META in upward trend: 10-day moving average crossed above 50-day moving average on December 04, 2024
The 10-day moving average for META crossed bullishly above the 50-day moving average on December 04, 2024. This indicates that the trend has shifted higher and could be considered a buy signal. In of 14 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 53 cases where META's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
META moved above its 50-day moving average on December 23, 2024 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where META advanced for three days, in of 327 cases, the price rose further within the following month. The odds of a continued upward trend are .
META may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 329 cases where META Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The 10-day RSI Indicator for META moved out of overbought territory on December 13, 2024. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 51 similar instances where the indicator moved out of overbought territory. In of the 51 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on December 18, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on META as a result. In of 87 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for META turned negative on December 18, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 49 similar instances when the indicator turned negative. In of the 49 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where META declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 90, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. META’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (8.177) is normal, around the industry mean (11.194). P/E Ratio (33.034) is within average values for comparable stocks, (48.888). Projected Growth (PEG Ratio) (1.115) is also within normal values, averaging (3.441). Dividend Yield (0.001) settles around the average of (0.026) among similar stocks. P/S Ratio (9.569) is also within normal values, averaging (19.660).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a social networking service and website
Industry InternetSoftwareServices