Facebook Stock Rises After Zuckerberg's Comments On Mobile
It's common knowledge by now that Facebook's stock could be doing a whole lot better. Its stock price has been consistently falling ever since Facebook's IPO in May, partly over investor concerns that the company wasn't doing enough to make money from mobile users. Yesterday, Mark Zuckerberg got up on stage at the TechCrunch Disrupt conference, making his first appearance since Facebook went public. His discussion was filled with admissions of failure, but Zuckerberg also looked toward the future, talking about what Facebook is going to do to turn its fortunes in the mobile arena around.
Some of that is already underway, but for the most part, Zuckerberg's plans for the future of Facebook on mobile devices have yet to play out. Still, his optimism during his appearance yesterday seems to have inspired something in Facebook's investors, as the company's stock price actually climbed a bit today. Mercury News says that Facebook's stock climbed $1.50 today, ending the day at $20.93. That means that Facebook's stock has made gains two days in a row, as the company's stock price also rose slightly on Tuesday in anticipation of Zuckerberg's appearance.
That $1.50 gain resulted in Facebook's market share growing by a whopping $4 billion in a single day, which is definitely a big win for the company. That gain is needed to, as Facebook's stock has slipped quite far from its initial $38 price, falling to as low as $18 last week. It seems that investors like Zuckerberg's plan for the future, so now all he needs to do is stick to it and things should begin looking up on a more regular basis.
That's easier said than done, however, and Zuckerberg and the rest of the people at Facebook definitely have their work cut out for them. One thing is for sure though: Zuckerberg knows where Facebook went wrong in the mobile space, and now we're seeing him get serious about turning it around. Stay tuned, because this could be a big turning point for the struggling social network.