For the first time since the initial public trading the stocks of the world’s largest social network Facebook, struck the price of $52.99. This is a historical record for the company!
For more than a year Facebook stock price has been very unstable and did not rise even to the level of IPO. Facebook stocks fell significantly, losing 50% of their value in the first year of public trading on the stock exchange.
However, investors’ attitude began to change when the social network has launched a mobile advertising and started reporting a planned increase in its share of total advertising revenue. More traders and investors saw an opportunity to buy Facebook stocks that lead to its price increase.
Since July 24, 2013 Facebook reported an increase in sales of mobile advertising by 75% in the second quarter. And since then Facebook stocks started their gradual increase and rose on about 70%!
Experts expect that the CEO Mark Zuckerberg will soon announce the launch of a video ad formats, as well as the launch of advertising on the photo service Instagram.
Today most of the Facebook’s income is coming from advertising. That’s why investors have a very positive response to any attempt of the social network to monetize its web and mobile traffic.
At the moment, Facebook stocks are keeping climbing up that means there are investors who believe that there is still a good opportunity to buy Facebook stocks.