Facebook Higher On Another 'Beat And Raise,' Analysts Boost Estimates

Facebook FB shares opened sharply higher Thursday on another "beat and raise" quarter and analysts boosted their forecasts.

"The company is still very early in monetizing its user base" that includes 20 percent of the word's population," Canaccord's Michael Graham said in a note Thursday.

Facebook's revenue of nearly $3 billion for the recent period beat analyst's estimates for the ninth straight quarter. Income nearly doubled to $1.4 billion, or an adjusted $0.42 per share.

The company has successfully shifted toward mobile devices, now accounting for 20 percent of all mobile minutes, Graham said. He also said a shift of advertisers to its higher-priced news feed as well as a pending re-design should lead to higher prices.

Maintaining a Buy rating, Graham raised his target to $84 from $75 and boosted his 2014 earnings estimate to $2 from $1.77.

Deutsche Bank's Ross Sandler said the company's mobile orientation and efficient operations are leading to higher margins.

Sandler boosted his third-quarter adjusted earnings estimate from $0.34 to $0.40 per share, while revenue went from $3.03 billion to $3.14 billion. Sandler maintained a Buy rating and $90 target.

"It's one of the best plays on secular growth in mobile," Sandler said.

Facebook traded recently at $76.18, up 6.8 percent.