NEW YORK (TheStreet) -- After a string of five straight down days, the S&P 500 continued a two-day winning streak Wednesday, up 2%. Although Twitter (TWTR) - Get Report was in the spotlight during the session, its shares falling 14.5%, attention soon turned to Facebook (FB) - Get Report earnings, reported after the close. Despite beating on earnings and revenue estimates, shares fell over 3% in late trading.
It seems like people are only selling the stock because it has had a big rally in recent trading, which isn't the right move, Tim Seymour, managing partner of Triogem Asset Management, said on CNBC's "Fast Money" TV show. He said $95 is a good level for investors to buy the stock, especially as digital ads continue to grow.
Facebook "smoked" operating margin estimates, according to Guy Adami, managing director of stockmonster.com. Expenses were also significantly lower than analysts had expected and the stock isn't that expensive considering how fast it's growing. He's a buyer of the stock.
Facebook's results make Twitter's earnings report look that much worse, Adami said.
Twitter just has "horrible management," added Brian Kelly, founder of Brian Kelly Capital. Facebook's results were excellent and the stock seems likely to rally in the not-too-distant future. he said.
Dan Nathan, co-founder and editor of riskreversal.com, said it's more likely than not that Facebook will at least rally to $100 as the sentiment for this stock is very bullish.
Bob Peck, managing director at SunTrust Robinson Humphrey, has a buy rating and $125 price target on Facebook. "We're still really bullish," he said. The company reported great results, especially in mobile revenue. Facebook's pricing power for advertisements are climbing, as they prove to be more effective than other platforms.
Instagram -- one of Facebook's other properties -- is a $2 billion opportunity, Peck added. Other properties, like Facebook Messenger and WhatsApp, also offer potential down the road, he said.
Whole Foods Market (WFM) also fell in after-hours trading after the company missed on EPS and revenue expectations. The problem with Whole Foods is the stock trades at way too high of a valuation, without having the growth to back it up, Adami said. However, he acknowledged that the stock is approaching key support.
The natural and organic grocery market is becoming very competitive, Seymour added. The stock tends to decline toward $36, where it usually finds support. However, he doesn't see much of a reason to buy at this point. Kelly said he would consider buying the stock near $36 for a short-term trade.
Ben Kallo, senior equity research analyst at R.W. Baird, has a buy rating and $71 price target on the stock. He said SolarCity had impressive orders and will likely grow faster than the industry going forward. He likes SolarCity for the U.S. residential and commercial market but for the global solar market Kallo prefers SunPower (SPWR) - Get Report and First Solar (FSLR) - Get Report.
Solar stocks tend to decline when oil prices decline, but SolarCity seems to be bucking that trend, Adami pointed out. He likes the stock and believes it will rally from current levels.
As for the broader market, Adami said the S&P 500 and iShares Russell 2000 ETF IWM held key levels of support this week, as did 10-year Treasury yields. Bonds now look likely to trade lower, while the CBOE Volatility Index I:VIX seems like it could decline below $12 assuming the S&P 500 makes another run at 2,135.
But will the index break out over that level? Nathan questioned whether investors would be willing to push the S&P 500 to new highs, when earnings have been so hit and miss.
Seymour added that a September rate hike is still in the cards, while Kelly said the U.S. dollar seems like it could rally and he's staying short oil as a result.