Facebook Reports Earnings Wednesday. Do Shares Still Have Room to Run?

Before you go, we thought you'd like these...
Before you go close icon

Social darling Facebook is set to report earnings this Wednesday. The consensus analyst estimate is for Facebook to report about $1.9 billion in revenue, with earnings per share of $0.18. This would be about 50% revenue growth on a year-over-year basis, most of which will come from growth in advertising.

Investors will have to continue to watch mobile ad growth. Mobile ad revenue accounted for 41% of Facebook's ad revenue last quarter, which helped fuel the massive rally in Facebook shares so far this year. The stock has climbed nearly 90% year to date. Investors should also keep an eye on the total number of monthly active mobile users.

Despite the enormous rally in Facebook shares this year, tech bureau chief Evan Niu believes Facebook still has a long runway for growth opportunities. In this segment of Tech Teardown, Erin Kennedy discusses Facebook's upcoming earnings report with Evan.

A smarter social play
This incredible tech stock is growing twice as fast as Facebook, it's caught the eye of our CTO. Watch our jaw-dropping investor alert video today to find out why The Motley Fool's chief technology officer is putting $117,238 of his own money on the table, and why he's so confident this will be a huge winner in 2013 and beyond. Just click here to watch!

The article Facebook Reports Earnings Wednesday. Do Shares Still Have Room to Run? originally appeared on Fool.com.

Erin Kennedy has no position in any stocks mentioned. Evan Niu, CFA, has no position in any stocks mentioned. The Motley Fool recommends Facebook. The Motley Fool owns shares of Facebook. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners