Can Facebook Continue to Trend Higher?
T = Trends for a Stock’s Movement
Facebook is engaged in building social products in order to create utility for users, developers, and advertisers. People use Facebook to stay connected with their friends and family, to discover what is going on in the world around them, and to share and express what matters to them with the people they care about. Developers can use the Facebook platform to build applications and websites that integrate with Facebook to reach its global network of users, building personalized and social products. Advertisers can engage with more than 900 million monthly active users on Facebook — or subsets of its users — based on information they have chosen to share.
Facebook Inc. reported third-quarter results after the closing bell Wednesday that showed mobile counted for an even larger percentage of the company’s ad revenue than it did in the second quarter, up from 41 percent to 49 percent. Revenue was up 60 percent on the year to $2.02 billion; earnings per share was 25 cents, beating analyst estimates of 19 cents; and Facebook’s adjusted profit doubled, to $621 million. The stock had a crazy post-earnings ride: Facebook’s results fueled gains, but comments from CFO David Ebersman about how teenagers are losing engagement with the site and that Facebook is choosing not to increase the number of News Feeds ads caused the stock to drop. Facebook was up 1 percent in premarket trading.