Facebook Earnings Rally: Unfriended

Andrew Kassen

After spiking as much as +18% off Wednesday’s closing price at $49.01 to $57.98, Facebook ($FB) has followed after the fashion of Netflix last week by giving back all its post-release gains almost as quickly as it added them, marking the second Sparkle & Fade in one of 2013’s marquee momo names.

Amidst thinner extended-hours trade, FB is stabilizing around its late afternoon low-of-day just below $49 – more than 2% below Wednesday’s open at $50, adding up to a massive 20% post-earnings range.

Facebook (FB) – 15-Minute Chart – Rally Reversed

Facebook Earnings Rally


Facebook (FB) – 1-Minute Chart: Sparkle & Fade

Facebook Earnings Rally

Will we see a lasting Facebook earnings rally once investors have had time to digest the EPS beat and accompanying release data?  Or is this another example of one of the can’t-miss momentum stocks of the current bull market finally toppling back to earth?


Twitter: @andrewunknown and @seeitmarket

Author holds no exposure to securities mentioned at the time of publication.

Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.