Update (4:05 p.m.): Updated with Wednesday market close information.
The social networking site has instituted new rules to monitor and restrict such postings. Facebook users can still post information and offers about guns for sale, but the site will now remove all posts that do not include a background check. Facebook will block users younger than 18 from reading posts from unlicensed dealers. All members will also be able to flag suspicious posts if they suspect criminal activity.
Moms Demand Action, an advocacy group formed in the wake of the shooting at Sandy Hook Elementary School, started to pressure Facebook last year to adopt tighter restrictions to prevent illegal gun sales.
The stock closed at $71.57, up 4.03% or $2.77 from its previous close of $68.80.
TheStreet Ratings team rates FACEBOOK INC as a "hold" with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate FACEBOOK INC (FB) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and impressive record of earnings per share growth. However, as a counter to these strengths, we find that the company's return on equity has been disappointing."