Facebook Inc (FB) Earnings Blowout Surprises Even The Most Optimistic Analysts

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While the market was down big today, shares of Facebook Inc (NASDAQ:FB) are trading higher in after hours after the company reported their fourth quarter earnings. The stock is up $11.56 or 12.24% this evening after the company beat the street on both the top and bottom lines.

While the average analyst expected Facebook Inc (NASDAQ:FB) to report an EPS of around $0.68, the company blew estimates out of the water with a $0.79 per share figure. Their EPS report beat even the most optimistic estimate of $0.75. Facebook also reported revenue for the quarter of $5.84 billion, beating consensus extimates of $5.37 billion.

“2015 was a great year for Facebook. Our community continued to grow and our business is thriving,” Mark Zuckerberg, Facebook founder and CEO, said in the company’s earnings release. “We continue to invest in better serving our community, building our business, and connecting the world.”

The stock decreased 2.97% or $2.89 during the last trading session, hitting $94.45. About 57.48M shares traded hands or 106.32% up from the average. FB has risen 14.87% since June 22, 2015 and is uptrending. It has outperformed the S&P500 by 23.74%.

From a total of 33 analysts covering Facebook (NASDAQ:FB) stock, 32 rate it a “Buy”, 1 a “Sell”, and 0 a “Hold”. This means that 97% of the ratings are positive. The highest target price is $155.0 while the lowest target price is $88. The mean of all analyst targets is $122.77 which is 29.98% above today’s ($94.45) stock price. Facebook was the topic of 59 analyst reports since July 21, 2015 according to the firm StockzIntelligence Inc. Argus Research maintained shares on November 6 with a “Buy” rating. Morgan Stanley maintained shares with a”Overweight” rating and a $120 target share price in their report from a November 5. Canaccord Genuity maintained FB stock in a recent report from November 5 with a “Buy” rating. Credit Suisse maintained the rating on November 5. Credit Suisse has a “Outperform” rating and a $135 price target on shares. Finally, Jefferies maintained the stock with a “Buy” rating in a report they issued on a November 5.

The institutional sentiment increased to 1.73 in Q2 2015. It’s up 0.01, from 1.72 in 2015Q2. The ratio increased, as 69 funds sold all their Facebook Inc shares they owned while 375 reduced their positions. 126 funds bought stakes while 643 increased their total positions. Institutions now own 1.55 billion shares which is 2.48% more than the previous share count of 1.51 billion in 2015Q2.

Millennium Tvp Management Co. Llc holds 52.76% of its total portfolio in Facebook Inc, equating to 639,552 shares. Parametric Risk Advisors Llc owns 7.97 million shares representing 46.51% of their total US portfolio. Moreover, Sc Us (Ttgp) Ltd. has 41.15% of their total portfolio invested in the company, equating to 1.04 million shares. The California-based Meritech Capital Associates Iii L.L.C. has a total of 37.81% of their portfolio invested in the stock. Duquesne Family Office Llc, a New York-based fund reported 4.09 million shares owned.

Since February 25, 2015, the stock had 0 insider buys, and 36 insider sales for a total of $168.47 million in net activity. Athwal Jas sold 30,000 shares worth $3.06 million. Stretch Colin sold 1,000 shares worth $98,710. Cox Christopher K sold 5,778 shares worth $561,622. Schroepfer Michael Todd sold 31,283 shares worth $3.00 million. The insider Fischer David B. sold 15,000 shares worth $1.43 million.

Facebook, Inc. is a social networking company. The company has a market cap of $275.28 billion. The Firm is engaged in developing products that enables users to connect and share through mobile devices and personal computers. It has 94.88 P/E ratio. It offers various services focused on people, marketers and developers.