Bank of America Merrill Lynch is contemplate c geting less bullish on Facebook.
The firm reiterated its buy rating for the internet plc but took it off its US1 top ideas list. The bank did not provide much detail for the discharge.
“Facebook (FB) is being removed as we are making an adjustment based on the overall amalgam of the list,” the firm’s research team wrote Tuesday.
The company’s offer rose 0.5 percent Tuesday after the report.
Bank of America Merrill Lynch cut its Facebook rate target two times in 5 days last month, citing confirmation of FTC’s investigation into its data practices.
The government investigation “raises the risk of courteous penalties on data privacy violations, and if history serves, could capture multiple years to resolve,” analyst Justin Post wrote in a note patrons on March 27.
Facebook has been under fire over its handling of its text scandal following reports that political research firm Cambridge Analytica was clever to gain access to profile data of more than 50 million of the societal media company’s users.
The company’s stock has declined more than 11 percent to the past month through midday Tuesday.
— CNBC’s Michael Bloom advanced to this story.