Facebook stock falls after Deutsche Bank cites 'cautious feedback' from advertisers

Shares of Facebook Inc. are down 1.5% in Tuesday morning trading after Deutsche Bank analyst Lloyd Walmsley published a note about his recent discussions with advertisers. "While some of our conversations in the ad community remain positive, we are starting to hear more cautious feedback and the company seems on the defensive, particularly post last week's data breach disclosure and the recent press around shadow advertisers," he wrote. Walmsley thinks that "a lot of this is already priced into shares" but he'll be looking for more commentary from advertisers as the AdWeek industry conference continues this week. Walmsley cautioned that he sees "heightened risk" to Wall Street's third-quarter, fourth-quarter, and 2019 estimates "given mixed channel feedback." Facebook shares are down 5.9% over the past 12 months, while the S&P 500 has gained 15%.

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