Facebook Tops Estimates, Royal Dutch Shell Falls Short, and 3 More Hot Stocks

Facebook Inc. (NASDAQ:FB): Earnings per share of 25 cents trounced estimates by 6 cents, as revenue of $2.02 billion also beat, by $110 million. Mobile ad sales grew 34 percent over the second quarter, to $880 million, making up 49 percent of all ad sales. Total ad sales saw gains of 13 percent quarter over quarter and 66 percent year on year, to $1.8 billion. Ad sales accounted for 89 percent of total revenue. Facebook reported 1.19 billion monthly active users at the end of the third quarter, a 3 percent bump over the second quarter, and 18 percent over the same period last year.

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Royal Dutch Shell (NYSE:RDSA): Shares of Shell are trading down as the company’s adjusted profit fall 32 percent to $4.5 billion, largely missing the consensus of $5.3 billion. Net income also plunged, to $4.7 billion from $7.1 billion; weak refining margins — an industry trend, it seems — put a sizable dent in Shell’s earnings, as output dropped 2 percent to 2.931 million barrels of oil equivalent per day. On a brighter note, Shell saw larger contributions from its chemicals business as well as greater underlying upstream production volumes.

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MGM Resorts International (NYSE:MGM): EPS of -7 cents missed projections by 4 cents, and although revenue of $2.46 beat by $0.05 billion, it wasn’t enough to keep the shares from selling off; the growth in gaming revenue per visitor is slowly falling in Macau, since the mass-market segment continues to account for a larger percentage of total traffic. That said, Seeking Alpha notes that China continues to be the driving force behind growth for many large gaming companies with the ability of operators to drive mass-market traffic key.

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Sony Corp. (NYSE:SNE): Sony shares are selling off over 12 percent after the company announced that its net loss widened to 19.3 billion yen ($197 million) from 15.5 billion yen a year earlier, largely due to the entertainment and movie division. Sales managed to grow 10.6 percent to 1.78 trillion yen; however, the net profit outlook was reduced to 30 billion yen from a previous estimate of 50 billion yen due to lower-than-expected sales of TVs, digital cameras and PCs, and under-performance at the movie unit.

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Glu Mobile Inc. (NASDAQ:GLUU): Despite both EPS and revenue beats announced on Wednesday evening, Gluu shares are trading down another 8-plus percent, adding to an after-hours collapse, as the company also reported stronger-than-anticipated consensus. The stock was up almost 80 percent since September’s announcement of the Deer Hunter 2014 game, and it appears investors are more keen on cashing in than waiting it out.

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