May- of Citigroup says:
" In raising the price target May looked to three key points: the WhatsApp acquisition, ads on Instagram, and video ads on Facebook.
Looking to 2014, May outlined four themes he believes will continue to drive growth: 1) continued RPM (revenue per thousand ad impressions, or monetization) gains due to the mix shift toward higher valued News Feed ads and from increases in like-for-like ads from improved targeting & analytics; 2)continued growth in mobile app adds as installs remain in high demand and adoption of app engagement ads; 3) monetization of Instagram (e.g., see recent $100mn contract with Omnicom); 4)wider rollout of video ads on Facebook and Instagram, which they believe could have 2x-plus eCPMs than standard ads."
tracey563 is absolutely correct. Big boys are gonna kill off those 3/14/14 70s options. Shorts will use the slight pullback to cover part of their wrong-side positions.
FB will hit $100 sometime in 2014, and maybe as soon as late summer. Hedgies and institutions don't want to be left out in the cold just in case FB is another Amazon or Netflix. Bet a lot of them took serious heat if they missed one or the other, or God forbid, both!