Worried About Facebook's Privacy Spending? Jim Cramer Has Advice for Investors
Facebook reported earnings after the bell Wednesday.
Facebook earned $1.99 a share in the second quarter, up from $1.74 a year earlier.
Revenue jumped 28% in the quarter to $16.9 billion.
"We had a strong quarter and our business and community continue to grow," said Mark Zuckerberg, Facebook founder and CEO.
"We are investing in building stronger privacy protections for everyone and on delivering new experiences for the people who use our services." The talk of the town, of course, was privacy for Facebook.
So, what should investors who are worried about privacy spending be thinking about?
Here's what Jim Cramer thinks.
"Well, you have to bet that the business is so incredible on Instagram, not Facebook, that they can absorb those costs.
Now yesterday was the blast zone.
Yesterday, it was really just a blast zone.
So they had no choice but to just talk nothing except for how they're gonna spend on privacy.
They don't know.
See, one of the things that was so unnerving is they're not going to be in charge.
So there's Zuckerberg talking about what they're gonna spend on privacy.
No, it's going to be this independent board and it's monitored," said Cramer.