Facebook steps into the $100 billion club
According to 36 Kr, investors and analysts seemed to be inspired by the Q2 earnings report released on 24th July by Facebook, Facebook share price increased by more than 50% post that. As the U.S. stock market closed, Facebook share price rose $0.79 yesterday, closing at $41.34. As of now, Facebook's market capitalization has reached 100.676 billion U.S. dollars.
The reason why Facebook share price kept dropping since its IPO is because investors doubted,the ability of Facebook on selling advertisements. Its share price dropped to a record low of $17.73 last September. While Facebook said that the smart phones and tablet PCs advertising business contributed 41% of the company's revenue for the second quarter with the new tool, the overall revenue of $1.81 billion also exceeded analysts' expectations which may also be one of the main reasons why Facebook share price rose.
Other tech companies which have over 100 billion US dollar market capitalization include Apple ($450 billion), Google ($290 billion), Amazon ($132 billion) and Intel ($112 billion) etc.