“Growth in use of Facebook through our mobile products, where our ability to monetize is unproven, as a substitute for use on personal computers may negatively affect our revenue and financial results,” Facebook said in an SEC filing at the time.
If second-quarter sales meet projections, Facebook would see an increase of 30 percent from a year earlier. Revenue rose 45 percent in the first quarter, compared with 55 percent in the fourth quarter. Sales more than doubled in each of the three periods before that.
Average analyst estimates dropped in late June, when at least 17 securities firms began coverage of the company. Morgan Stanley gave Facebook the equivalent of a buy rating, as did JPMorgan Chase & Co., Goldman Sachs Group Inc. and five other firms. Among analysts who cover Facebook, there are 19 buy ratings, 16 holds and 3 sells.
Competitive concerns were also raised this week, as Google Inc.’s social network debuted at the top spot on the American Customer Satisfaction Index E-Business Report, which ranks companies on a 100-point scale. Facebook, criticized for changes to its interface, had a lower score than in previous years.