Facebook ended the week yesterday on a good note. At market close, the social network’s share price stood at $40.55. The latest figures show Facebook currently being in the best spot it has been since debuting on the Nasdaq in May 2012. This milestone came soon after the company reportedly came close to touching the $38 market share price recently.
The initial public offering last year did not really give the social network the results it was expecting. Since then, the company has been trading well after showing its second-quarter earnings report. The report showed that the company could profit from members who were switching their attention from desktop to mobile. Facebook has said that it made 41 percent of its advertising revenue from mobile in the second quarter of 2013. This amounts to $656 million.
On Friday, ITG Research, according to seekingalpha, released a report showing a great deal of anticipation for Facebook’s third-quarter North American revenue, stating that the number could go as high as $920 million. This indicates that Wall Street may have high hopes for Facebook’s growing mobile revenue. Marc Lehman, a US trader has also tweeted about the same.
Fyi, Told ITG took #'s on Facebook $FB for Q3 to as high as $920 Million vs the street of 878M or a 44% Y/Y increase
— Marc Lehman (@markflowchatter) August 23, 2013
The social network currently runs a combination of sponsored stories and mobile app installs inside member’s mobile News Feeds. According to a July comScore report reported by AllThingsD, the combination reportedly receives 914 minutes of mobile attention from the average visitor each month. This is up from the 508 minutes reported last year.
And this reportedly makes up for the dwindling attention that users give to the desktop version of Facebook. According the report, the average visitor spent 351 minutes on Facebook using a desktop. This is down from the 439 minutes seen in July of last year.
Looking back, it should be noted that Facebook went public in May 2012 at $38 per share. The company's initial public offering, however, was marred by trading glitches. Worries about growth prospects then weighed on shares. They bottomed at $17.55 in September, the lowest the company has ever faced. It was feared, at the time, that Facebook may not be able to recover from the market slump. those fears now seem to have eased.
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