Facebook Inc., operator of the world’s most popular social-networking service, climbed to an all-time high Wednesday, as investors bet the company will benefit from growing demand for its mobile-advertising products.
Shares advanced 3.3 percent to $45.04 at the close in New York, a record that also surpassed the intraday high of $45 on the stock’s first public trading day in May 2012.
Chief Executive Officer Mark Zuckerberg is stepping up efforts to attract users and advertising dollars to Facebook’s services on smartphones and tablets, where promotions are placed among updates and photos from friends. The company, which has more than 1 billion members, has also worked to simplify the ad-buying process for marketers, with mobile making up 41 percent of ad revenue in the second quarter, up from 30 percent in the previous period.
The new high marks another milestone for a stock that lost more than half of its value last year from the initial public offering price of $38, as investor concerns mounted over the company’s ability to make money as users shifted their activity to mobile devices.
Facebook, which has a market capitalization of more than $100 billion, has surged more than 60 percent since announcing in July that sales of promotions on wireless devices are on track to surpass revenue from desktop computers. The Menlo Park, Calif.-based company said sales rose 53 percent to $1.81 billion, topping analysts’ average prediction of $1.62 billion.