Meta Shares Surged 18% During After Hours Trading After Positive Earnings
Apr 28, 2022 By MarketDepth
Meta (NASDAQ: FB), Facebook’s parent company, shares surged 18% during after-hours trading Wednesday after it reported positive earnings.
Earnings Higher than Anticipated
The multinational technology company reported earnings of USD2.72 per share, compared to the expected USD2.56 a share. Meanwhile, revenue amounted to USD27.91 Billion, lower than analysts anticipated USD28.2 Billion, according to Refinitv.
“We made progress this quarter across a number of key company priorities and we remain confident in the long-term opportunities and growth that our product roadmap will unlock. More people use our services today than ever before, and I’m proud of how our products are serving people around the world.”Mark Zuckerberg, Meta founder and CEO
The company shared information with investors for the first time since its disappointing fourth-quarter earnings in Febuary, that had shares down 26%. Daily active users, which were down in the fourth quarter, made some progress from 1.93 billion up to 1.96 billion.
“Meta’s results were very well received, all things considered. A lot of that was based on the user number growth that posted.”Laura Hoy, an equity analyst at Hargreaves Lansdown
The company now forecasts second quarter revenue to range from USD28 Billion to USD30 Billion, compared to the expected USD30.6 Billion from analysts surveyed by Refinitv. According to Meta, the guidance took into account trends from the first quarter, as well as soft revenue growth that “coincided with the war in Ukraine.”