2 Signs That Facebook Is Stronger Than You Think

Updated

The following video is part of our "Talking Stocks" series, in which Motley Fool analysts Lyons George and Isaac Pino discuss trends across the investing universe.

Weeks out from its hotly contested IPO, Facebook is still trading well below $30 a share -- and with concerns over its advertising model still dominating the public discourse, that price might not pop anytime soon. In today's edition, Lyons and Isaac go against the grain and discuss two ways that the company investors love to hate is showing serious signs of life. In rebuttal to a Reuters report claiming that 80% of users are impervious to Facebook advertising, the social giant's management team has come out with a comScore report suggesting that its ads produce up to 300% in return on investment for its clients. Toss in an aggressive new real-time bidding exchange borrowed straight out of the Google playbook, and suddenly that path to profitability doesn't seem so far-fetched for Facebook -- or its investors.

Big tech names gather a lot of investor attention, but the truth is that they're playing second fiddle to an even larger revolution in technology. To better prepare investors for this new revolution, The Motley Fool has just released a free report on mobile named "The Next Trillion-Dollar Revolution" that details a hidden component play inside mobile phones that also is a leader in the exploding Chinese market. Inside the report, we not only describe why the mobile revolution will dwarf any other technology revolution seen before it, but we also name the company at the forefront of the trend. Hundreds of thousands have requested access to previous reports, and you can access this new report today by clicking here -- it's free.

At the time thisarticle was published Both Lyons George and Issac Pino own shares no companies listed above. The Motley Fool owns shares of Facebook, Google, Starbucks, and Amazon.com.Motley Fool newsletter serviceshave recommended buying shares of General Motors, Amazon.com, Google, and Starbucks and writing covered calls on Starbucks. The Motley Fool has adisclosure policy. We Fools don't all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. Try any of our Foolish newsletter servicesfree for 30 days.

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