UPDATE: Piper Jaffray Reiterates Overweight Rating, Raises PT on Facebook Following Video Ad Potential

In a report published Monday, Piper Jaffray analyst Gene Munster reiterated an Overweight rating on

, and raised the price target from $38.00 to $46.00. In the report, Piper Jaffray noted, “We are raising our price target on shares of FB from $38 to $46 based on the potential of the company's reported video ad offering. Bloomberg reported that Facebook would begin offering 15 second video ads this year. The report came out the week following Facebook's Q2 earnings. We believe that the Street has largely yet to contemplate the video offering in numbers. While we are not adjusting estimates for the video product until we see how the product will function, the video ad product gives us greater comfort in our forward ad growth estimates (50% in 2013, 30% in 2014) and thus we are raising our multiple to reach a $46 price target.” Facebook closed on Friday at $38.05.