Not since its second day of trading have Facebook (NASDAQ: FB) shares closed this high.
The social network’s stock popped nearly 30% today, closing above $34 a share for the first time since May 21 of last year. The latest round of Facebook earnings had everything to do with the stock’s big move.
Here are some of the more impressive numbers from yesterday’s after-market Facebook earnings report:
- Mobile Usage Up 51%. The number of monthly active mobile users increased greatly year over year, giving the company a stronger foothold in one of the fastest-growing industries in the world. Forty-one percent of Facebook’s ad revenue now comes from mobile – up from 30% from a year ago.
- Earnings and Revenue Beat Estimates. EPS of 19 cents and revenue of $1.81 billion outpaced consensus analyst expectations of 14 cents a share and $1.62 billion, respectively. In the previous quarter, Facebook’s earnings were 12 cents a share on revenue of $1.46 billion.
- More Total Users. It wasn’t just the mobile segment that increased. The total number of active daily Facebook users increased 27% from a year ago, rising to nearly 700 million users per day.
The banner quarter caps a strong month for the once down-and-out stock. In late June, Facebook shares had dipped to $24 – 37% below its $38 IPO price last May. Even entering today’s rally, however, the stock was on a nice run, advancing 9% since the Fourth of July.
Facebook’s renaissance might not last forever. The stock is still trading at 182 times earnings even after its improved quarter. With its mobile business growing fast, however, this likely won’t be the last glowing Facebook earnings report.