Why Facebook (FB) Stock Is Up Today

NEW YORK (TheStreet) -- Shares of Facebook  (FB) rose 1.39% to $78.30 in morning trading Friday as the market recovered following the U.S. Department of Commerce's announcement that the nation's gross domestic product grew at its fastest pace in 2.5 years.

The department said the U.S. GDP climbed 4.6% in the April to June period, which surpassed the previous expectation of 4.2%. Exports climbed 11.1%, compared to the estimate of 10.1%.

News also broke Thursday that European Union antitrust regulators would approve Facebook's $19 billion offer for messaging service WhatsApp, according to Reuters. One source described the approval as "unconditional clearance."

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

The deal would be the largest in Facebook's 10-year history and would give the social media company a position in the emerging mobile messaging market against large telecommunications companies.

Separately, 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 stock itself is trading at a premium valuation."

If you liked this article you might like

PayPal CEO Reveals How Silicon Valley Could Repair Its Broken Culture

These Powerful Corporate Executives Could Make a Run at the Presidency in 2020

Zuckerberg, Facebook Directors Settle Delaware Suit Over Voting Rights

North Korea's Nuclear Threat Pressures Wall Street at Trading Week's End

LA Times Tops 100,000 in Digital Subscriptions