Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Facebook Mobile Wins Big While Boeing Fails to Impress

The S&P 500 inched up to a fresh record Wednesday, while the Dow (DJINDICES: ^DJI  )  dipped 27 points on some major mixed earnings reports.

1. Facebook hits all-time high after earnings
Step aside if you've been doubting Facebook (NASDAQ: FB  ) founder Mark Zuckerberg lately. Facebook's second-quarter revenue rose 61% from last year to $2.91 billion, sending the stock to an all-time high above $71 per share in after-hours trading.

Why are investors giddy like high-schoolers whose parents just gave them permission to join Facebook? Because of mobile. Facebook's mobile users have grown by 40% from last year, resulting in mobile ad revenue rising 67% over that period. That makes Facebook second behind Google for mobile ad dollars, with 22% of the market share.

The takeaway is that even your mom knows the world is going to smartphones over desktops -- and although Facebook stock struggled after its failed IPO on worries it wouldn't figure out mobile ads, investors now like what they're seeing. Next, Wall Street thinks Facebook's move will be a "Buy" button that lets you buy your buddy's cheap sunglasses directly from your newsfeed.

2. Boeing profits soar, but stock doesn't
We promise you we won't use any more cliché take-off/landing analogies to describe the second-quarter performance of aircraft-maker Boeing (NYSE: BA  ) . The good news is that Boeing profits popped 52% from last year as revenue rose 1% to just over $22 billion last quarter thanks to big demand for commercial jets.

So why'd the stock fall 2.4% Wednesday? One big military contract problem. Boeing's earnings report surprised investors with news that wiring problems on some KC-460 tankers (aka "Pegasus") that it's building for the Air Force cost the company $425 million. Too bad they can't just send in Bob Villa or your impressively handy roommate "Dave."

The takeaway is that Boeing stock has been turbulent recently. Boeing shareholders are hoping that the 7% jump in commercial airline orders can compensate for the 5% decline in defense revenues.

3. PepsiCo's poor soda sales saved by snacks
Pepsi's got munchies, and Coke doesn't. Westchester N.Y.-based PepsiCo (NYSE: PEP  ) reported second-quarter earnings that beat estimates thanks to Fritos, Tostitos, and Ruffles (the good stuff). North American soda sales were down (same for Coca-Cola), but the company's snack foods were a hit, especially in Latin America.

The takeaway is that Americans are reducing soda consumption. This could have been a game-ender for Britney Spears' former top endorsement giver, but its diverse non-soda offerings like Gatorade and chips are growing and rescuing the company.

As originally published on

Your credit card may soon be completely worthless
The plastic in your wallet is about to go the way of the typewriter, the VCR, and the 8-track tape player. When it does, a handful of investors could stand to get very rich. You can join them -- but you must act now. An eye-opening new presentation reveals the full story on why your credit card is about to be worthless -- and highlights one little-known company sitting at the epicenter of an earth-shaking movement that could hand early investors the kind of profits we haven't seen since the dot-com days. Click here to watch this stunning video.

Read/Post Comments (0) | Recommend This Article (4)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 3041838, ~/Articles/ArticleHandler.aspx, 8/29/2015 1:12:07 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Market Snacks

MarketSnacks creates a single, simple, daily summary of what’s happened on Wall Street -- that you'll actually want to read.

Today's Market

updated 15 hours ago Sponsored by:
DOW 16,643.01 -11.76 -0.07%
S&P 500 1,988.87 1.21 0.06%
NASD 4,828.33 15.62 0.32%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

8/28/2015 4:55 PM
^DJI $16643.01 Down -11.76 -0.07%
BA $133.24 Up +1.37 +1.04%
The Boeing Company CAPS Rating: ****
FB $91.01 Up +1.28 +1.43%
Facebook CAPS Rating: ***
PEP $93.53 Down -0.07 -0.07%
PepsiCo CAPS Rating: *****