MKM Partners will$Alphabet Inc-CL C-A (GOOGL.US) $The target price has been slightly reduced from 3375 US dollars to 3300 US dollars.$Meta Platforms (FB.US) $The target price will be reduced from 365 US dollars to 315 US dollars.$Pinterest (PINS.US) $The target price was lowered from $42 to $38, while$Snap Inc Inc (SNAP.US) $And$Twitter (TWTR.US) $The target prices remain unchanged at $47 and $49, respectively. At the same time, MKM Partners has a "buy" rating on all companies except Twitter's "neutral" rating.

MKM Partners said that online advertising companies, including well-known Internet giants such as Alphabet, Meta Platforms, Twitter, Snap Inc and Pinterest, are facing a severe macroeconomic situation.

Rohit Kulkarni, an analyst at MKM Partners, said: "We believe that online advertising companies are facing four increasing macro factors: (1) the direct impact of the war between Russia and Ukraine; (2) the indirect impact and potential spread of the war on Europe; (3) a slowdown in brand advertising spending, especially around geopolitical content; and (4) the possible impact of weak consumer spending in Europe driven by inflation and rising oil prices. "

Kulkarni pointed out that due to the conflict between Russia and Ukraine, the domestic advertising market in the United States may slow by 1%. MKM believes that the European advertising market may be more affected.

Global advertising spending accelerated in 2021 with the reopening and continued penetration of online advertising, the analyst said. But advertising spending growth should slow in 2022, especially in the first half of the year, mainly due to the base effect, and US spending growth should slow to 9-11 per cent. This growth should accelerate in the second half of the year as the base effect moderates-the US mid-term elections should increase incremental advertising spending by about 2 per cent, the company said.

Industries that are expected to increase advertising spending this year include technology, telecommunications, media and entertainment, and tourism, while sectors expected to cut back this year include cars, real estate and consumer goods.

As a result, MKM cut Alphabet's revenue forecast for 2022-2023 by 1 per cent and operating profit by 2 per cent, followed by Meta Platforms's revenue forecast for 2022 and 2023 by 3 per cent and 8 per cent, respectively, and earnings per share by 6 per cent and 15 per cent, respectively. Pinterest's 2022 revenue and EBITDA will be cut by 1 per cent, and 2023 revenue and EBITDA by 7 per cent and 8 per cent, respectively.