Investors jumped on Facebook stock in after-hours trading yesterday after the company’s mobile-focused earnings report, so it’s not a huge surprise to see the stock make another huge leap this morning.
Facebook’s stock is up 22 percent from yesterday, trading at $23.80, as of the time of this post. The stock reached a high of $24 this morning, and it was up almost 28 percent in pre-market trading. Facebook’s stock is still well below the $38 it opened at, but the rise is a good sign for investors.
Facebook announced yesterday that its mobile monthly active users on has reached 604 million people. That would normally be bad news for a company that’s historically had trouble monetizing mobile, but Facebook surprised everyone yesterday when it revealed that 14 percent of its quarterly revenue (around $152.6 million) came from mobile ads.
Even though Facebook just cracked the 1 billion monthly users mark, the company’s future lies mostly in mobile. Its mobile users have increased 61 percent since last year, and Facebook also recently updated its iOS app (and will soon do the same for its Android app) to be much speedier. The faster app, along with a more concerted effort to push sponsored stories in users’ mobile news feed, likely led to the solid mobile ad growth.
Photo via Facebook