Facebook shares trade at a new record after blowout Q1 earnings

Summary:

Facebook Inc's (FB) stock price hit an all-time high after the bell as their first quarter earnings smashed analysts estimates.

Facebook Inc’s (FB) stock price hit an all-time high after the bell as their first quarter earnings smashed analysts estimates.

Facebook stock price exploded +7% to $328 per share after announcing an increase in advertising revenue of 48% for the first quarter of 2021.

This move set a new record for Facebook stock, hurdling the previous all-time high of $315.88 set earlier this month.

Whilst Wall Street analysts expected the social media giant to improve upon last quarter’s numbers. The release made even the most optimistic estimates look tame.

Q1 EPS at $3.30 vs. Expected $2.34

Q1 Revenues at $26.17 Billion vs. expected $23.72 Billion

In further encouraging news for the Facebook stock price, the number of delivered ads increased at 12% with an overall increase in the price per ad of 30%.

Facebook price prediction

Against the current backdrop, the stock looks set to continue into unchartered territory. Just how far remains to be seen.

Support now comes at the previous ATH at $315.88. Failing that, we look to the $304.67 high of August 2020 and the November high of $297.38 as the next levels to watch on the downside.

Longs can be added with a view to closing the position on a breach of the previous ATH on a closing basis.