UPDATE: Deutsche Bank Upgrades Facebook to Buy on Revenue Momentum

Deutsche Bank upgraded Facebook

from Hold to Buy and raised its price target from $36.00 to $40.00. Deutsche Bank noted, "FB doesn't fit into the DB Internet Team's preferred low multiple bucket, but has more revenue momentum than any company we cover heading into 2013. Our thesis has not changed since we launched coverage in Sept.: Mobile Newsfeed Ads are the game-changer, but the ramp-up is happening much faster than our initial estimates and we see several new catalysts emerging. Ad revenue should growth north of 40% in 2013, well above consensus. We still think a “one quarter at a time” approach is warranted given heightened expectations and all the potential revenue opportunities, but the future looks bright." Facebook closed at $31.72 on Friday.