The firm reiterated its "buy" rating on the stock while also raising its price target to $242, up from its previous view of $202. The new price target represents a 16% upside from the stock's opening price Friday of more than $209.
The firm expects Facebook to report second-quarter revenue growth of 45% year over year to $13.52 billion, ahead of Wall Street's consensus of $13.35 billion.
Stifel also expects the social media company's total monthly active user total to grow 12% year over year to 2.25 billion with 1.47 billion daily active users, up 11.2%.
Facebook is scheduled to report its results Wednesday, July 25, after the closing bell.