Facebook(FB) - Get Report shares were rising nearly 2% in after-hours trading Wednesday after the social media company said it earned 57 cents a share on revenue of $4.5 billion in the third quarter. Analysts had expected the company to earn 52 cents a share on revenue of $4.37 billion.
Monthly active users grew 14.8% year over year to 1.55 billion. In addition, mobile monthly active users grew 23% year over year to $1.39 billion.
David Wehner, Facebook's chief financial officer, told Bloomberg News the company "would continue to spend on virtual reality, artificial intelligence and other moves to prepare for the future, especially as the main business remains strong."
"We are investing aggressively in the future," he told the news service in an interview after earnings were announced after the closing bell. "We see great opportunities."
Read this report from TheStreet's Technology Editor Chris Ciaccia to learn what analysts were saying about Facebook ahead of its earnings report.
Separately, Facebook is preparing to launch a new standalone news app called Notify next week, the Financial Timesreported. The app will feature content from media partners including Vogue, the Washington Post and CBS(CBS) - Get Report , the newspaper said.
Facebook shares closed at $103.94, up by 1.3%, during the regular trading session.
Shares of Tesla Motors(TSLA) - Get Report accelerated on Wednesday, jumping by 11% to close at $231.63. The electric car manufacturer reported its third-quarter earnings after the closing bell Tuesday.
Tesla reported a loss of 58 cents per share on $1.24 billion in revenue. Analysts were expecting $1.26 billion in revenue and a loss of 50 cents a share.
But the company said it delivered more cars in the third quarter than it had anticipated. Tesla also increased its production guidance for the fourth quarter.
In addition, investors on Wednesday applauded the news that Jason Wheeler, a top finance executive at Alphabet(GOOGL) - Get Report , will become Tesla's CFO at the end of the month, replacing Deepak Ahuja, Re/codereported. Jon McNeill, former CEO of the software company Enservio, will join as president of global sales and service, Re/code said.
"What the Tesla team has achieved in building compelling alternatives in transport and energy is simply incredible," Wheeler said in a statement. "I am so excited to join an amazing team dedicated to such a broad and inspiring mission. Looking forward to jumping into the fast lane."
Wheeler will receive a $15 million equity package that vests over four years, Bloomberg Newsreported.
Tesla CEO Elon Musk on Wednesday discussed his company's financial prospects on CNBC's "Squawk on the Street." Check out this video to also see what TheStreet's Jim Cramer had to say about Tesla's stock.
"Musk really knows how to put on a show," said Cramer, referring to Tesla's earnings call on Tuesday. "It remains a cult stock. ... I can't stop you from buying it."
Shares of Groupon(GRPN) - Get Report , the struggling daily deals site, plummeted by 26% Wednesday, closing at $2.97. The company announced Tuesday CEO Eric Lefkofsky would be replaced by COO Rich Williams. Lefkofsky will return to his former position as the company's chairman.
"Obviously this is not a fairy tale beginning to (a) first day on the job as CEO," Williams toldCNBC after being asked to explain Wednesday's massive stock selloff. "We gave the market a lot to digest."
On Tuesday Groupon reported dismal earnings and lower-than-expected guidance for the fourth quarter.
"It's still too early to buy Groupon," TheStreet's Jim Cramer toldCNBC.
This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.