Analysts at MKM Partners have become the most bullish firm on Facebook (FB) - Get Report , raising the social media giant's stock price target to $240 per share, the highest target of 46 analysts surveyed by FactSet.
Shares of Facebook were higher in pre-market trading on Thursday.
The firm raised their target to $240 from $200, contending that Facebook is the soundest investment among high-cap names. MKM argues that that estimates for revenue are still "overly conservative" and there appears to be "overly aggressive" expectations for Facebook to take on further expenses.
"Together we think this is an attractive set up: a further de-rating is unlikely,...implying that growth alone will carry the stock higher, but we also think EPS upside is likely," MKM wrote.
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