Facebook's (NASDAQ:FB) second-quarter revenue and profits came in much higher than Wall Street analysts were expecting, and today shares had their biggest one-day gain ever. No fewer than eight investment firms raised their target price on Facebook's stock.
Mobile advertising, which basically didn't exist a year ago, now makes up 41% of Facebook's ad revenue. However, Motley Fool analyst David Hanson says investors looking for the "next big thing" from Facebook shouldn't expect it to be mobile ads. While the stock has a lofty valuation, no one should be betting against CEO Mark Zuckerberg and his team.
Chris Hill has no position in any stocks mentioned. David Hanson 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.