video Quick Take: T3 Analyst Likes Facebook
There were always two big questions about Facebook, he said: Will it ever reach its IPO price of $38 and can it find a way to monetize mobile?
Following the company's second-quarter earnings results in July, the answer to both is a resounding, "Yes."
But Redler believes the gains likely won't stop here. He pointed out that with the broader markets down roughly 2.5% for the month of August, Facebook is one of the few still hanging in there. He added that since the breakout following earnings, the stock has maintained its momentum and is simply consolidating at the moment.
Should the stock hold its recent low around $36, it should continue to be accumulated by traders. If the stock can take out its recent high of $39.30, then $40 and above comes into play.
Redler concluded that the stock could ultimately hit $44 on the upside, if not more.
-- Written by Bret Kenwell in Petoskey, Mich.