People have started understanding the importance of social media now more than ever in 2020. As we come across different hurdles that make social interaction more difficult, social media steps in to ease the difficulties in socializing and communication.
The changes in communication that we are observing will exist for a long time, if not permanently. In other words, from an investor’s perspective, social media is a great place to invest in.
If you are wondering about social media stocks and which platforms are worth your investment right now, here is a list of social media stocks to keep your eye on.
1. Pinterest, a Fresh Take On Social Media
Pinterest is the hub for ideas, fashion, recipes, and much more. To put it simply, Pinterest is a platform for image sharing, where users can pin and organize pictures they like or find useful.
When Pinterest first started, it performed well. In the span of a short time, they surpassed their Initial Public Offering, or IPO, of $18 by more than 50%. However, the shares have been on a decline after that.
Yet, despite the numbers, Pinterest is still a site you should keep an eye on for multiple reasons. First of all, many people use Pinterest to keep tabs on the latest trends, and this app gives them the scope to match users with sellers of, for example, clothes. This will increase the site’s scope to attract advertisers.
Moreover, Pinterest has an entirely different concept from other social media platforms, which is what sets it apart from its competition.
Stocks are always tricky, and it is hard to understand whether investments are worth it, which is why you should always check to see if you can find an article on the StocksReviewed blog on the social media stock you wish to invest in.
2. Twitter Has Massive Potential
Twitter is probably one of the most famous blogging sites as it restricts users to a 280 character limit. In turn, as users are forced to say everything they need to within the limit, it attracts more people to scroll through their posts.
Indeed, Twitter is a unique form of blogging. However, what makes the site even more attractive is the fact that it is used by many celebrities and other public figures. For anyone looking for updates on public figures, such as politicians, they can check their Twitter updates instead of waiting for articles to be released about them.
When it comes to how valuable stocks are on social media sites, Twitter’s value ebbs and flows. The reason why there is a push and pull of stock value is that Twitter has not completely warmed up to advertisers, which holds it back from its true potential. That is also why investors are hesitant to buy stocks.
However, this does not mean Twitter does not have the potential for more. Not only is it a household name, but it is also taking steps to combat fake news that circulates on the site.
3. Weibo Is Growing
Weibo is a famous platform for blogging in China, and its popularity comes with good reason. It is dubbed as the Twitter for China, and many believe that the inspiration from Twitter could be the reason that it is so famous. However, there are more reasons for its growth.
Weibo allows businesses to promote their products or services in many ways, and because of its popularity, it is growing at a rapid rate.
4. Popularity Of Zoom
Zoom is a website made for video and audio conferencing, and it is normally targeted towards businesses. However, due to the lockdown, many people have been on the search for the best conference sites to use for efficient communication while teleworking.
Not only are more businesses starting their operations online, but schools and other facilities are also continuing through video calls. Zoom has surfaced as one of the many solutions to communication during the quarantine.
In December of 2019, Zoom only had around 10 million users. This number saw a massive increase by late April with a whopping number of 300 million users.
Not only have more people started using Zoom, but due to the increase in popularity, more people know about it now. Investors should keep an eye on this company because their exposure has changed for the long haul.
5. Snapchat Is Trending
Snapchat’s daily active users have increased from 190 million in 2019 to 229 million in 2020. It goes without saying that Snapchat stands side to side with the most popular social media sites.
In 2017, Snapchat had a market value of an astounding $23.8 billion because of its smart IPO. However, due to the pandemic, more businesses have been tight on budget and spend less on advertisements.
In contrast, Snapchat’s success should not be measured based on a lack in performance due to the pandemic because it is temporary.
On the other hand, Snapchat’s outstanding performance is obvious as other social media sites such as Facebook have been emulating Snapchat features such as introducing the daily stories feature and camera filters.
One of the things that set Snapchat apart from its competitors in the industry is how it utilizes augmented reality and introduces it to the mainstream platform.
Though Snapchat may have shown some downs with its stock in the past, their successes and contributions to the world of social media are undeniable. Snapchat would be a smart choice for any investor looking to invest in social media.
As times have drastically changed, people are more likely to reach for their phones for news and communication rather than turning on their television, which is why investors should constantly research and stay updated with trends as they are ever-changing. The right investment at the perfect moment could change the game for the investor.
That is why investing in social media is a great choice as they are the only ones who can aid communication among people during this age of COVID-19.