The stock market's selloff has disproportionately hit social media stocks. Turmoil over Facebook's data usage practices triggered a steep selloff in shares of Twitter (TWTR) and Snapchat (SNAP). Facebook, Twitter and Snap shares are down -20%, -25% and -40% from their year-to-date highs. This drawdown has created opportunities for investors. "Everything that's going on with Facebook is starting to hit Twitter, even though they're two completely different animals," explains Hedgeye Internet & Media analyst Hesham Shaaban. In this special webcast, Shaaban discussed, with CEO Keith McCullough, what most investors are missing about social media stocks, how they make money and what developments investors should keep a close eye on. Stocks covered included Netflix (NFLX), Twitter (TWTR), Snapchat (SNAP), Pandora (P) and Yelp (Yelp) among others. Below is a brief excerpt transcribed from this conversation. Also below is the entire 38-minute discussion.