NEW YORK (TheStreet) -- Shares of Facebook (FB) are jumping 2.69% to $87.02 on Tuesday after the social networking service unveiled a new mobile format in the works that makes advertisements more interactive and immersive, CNBC.com reports.
Facebook's Chief Product Officer Chris Cox told advertising executives at the Cannes Lions advertising festival that the company's new mobile format blends video with still images, moving images and information to engage the viewers in a whole new way, according to CNBC.com.
By creating rich media, users can seamlessly scroll through their news feeds while browsing through interactive ads.
This new format will help Facebook's growth in terms of mobile and video,, as mobile ads comprised 73% of the company's ad venue in the first quarter and video is becoming increasingly common, CNBC.com said.
Cox did not say when Facebook will make this format available to advertisers to use, but we should expect them to launch broadly by the end of the year, CNBC.com noted.
Separately, TheStreet Ratings team rates FACEBOOK INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate FACEBOOK INC (FB) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. 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, expanding profit margins, good cash flow from operations and solid stock price performance. We feel its strengths outweigh the fact that the company has had sub par growth in net income."