Published 14:54 IST, August 28th 2021
Facebook Stock Price: Why Facebook's share price is going up? Should you Invest?
Facebook is one of the biggest online advertisers and the company’s ad business has seen incredible momentum lately resulting in high quarterly revenue.
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Facebook stock price have been on rise. stocks of American Internet giant have ded about 1.7% since last month, outperforming S&P 500. surge in company’s stock price is attributed to its quarterly results along with an increased revenue estimate. Facebook shares were being tred at USD 372.63 at time of writing.
Why is Facebook share price going up?
Facebook is one of biggest online vertisers with strong revenue. company’s vertising business has seen incredible momentum lately. Facebook's top-and bottom-line quarterly results, owing to increased revenue from its s, continue to beat expert analysts’ calculations and thus, continues surge in Facebook stock price time after time.
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According to a report by Zacks, an investment research company, Facebook's second-quarter 2021 earnings of $3.61 per share once again beat analysts’ estimate by 19.1% and continued to surged 100.6% year over year. vertising remained biggest factor as company’s second-quarter revenue increased 56% year over year to reach $28.58 billion. Moreover, or revenues of company surged 35.8% year over year to $497 million. Apart from United States & Cana, revenue has been on surge in Asia-Pacific and Europe.
Should you invest in Facebook stocks?
According to international reports, Facebook is expecting a downward trend in its revenue. company is expecting growth rate for third and fourth quarters of 2021 to decelerate owing to certain changes. Facebook expects a drop in user interest due to changes me in iOS 14.5 update that limit its ability to track user-activity trends. company which strives on personalised platform will have an issue to face if such changes come by in future from or operating systems as well.
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Facebook anticipates total capital expenditures to rise, owing to its higher spending on data centres, servers, network infrastructure and office facilities. company, which is currently on top of market expects a slow decline. However, many market experts still remain confident in company’s stocks as it has always crossed all expectations put forth by investors.
Meanwhile, in or Facebook news, company received yet ar blow on Thursday when Russia fined company for t complying with Russian legislation. Russia's internet watchdog said that company along with Twitter and WhatsApp failed to abide by rules for storing data of Russian users on domestic servers. Facebook was handed a fine of 15 million rubles while WhatsApp was fined four million rubles.
IM: UNSPLASH/ AP
14:54 IST, August 28th 2021