Despite predictions of Facebook's inclusion in the Standard & Poor's 500 Index, the world's largest and fastest growing social media network gained 5.2% to $24.46 at 10 a.m. in New York. The shares went on to reach $24.50 - the biggest intraday gain of the month. This comes after Facebook's 39% drop since early in May 2012.
According to John Rohan, Facebook is likely to enter the Standard & Poor's 500 Index in 2014. Rohan, an analyst from Stifel Nicolaus & Co., Facebook will follow the trend that Google set, which entered the Standard & Poor's 500 Index a year and a half after its debut in the public market in 2004.
"Inclusion in a major index would significantly broaden Facebook's investor base, providing added liquidity and price support, and the addition would likely cause a near-term pop in the share price," Rohan's report said.
Facebook's current market value sits at $60 billion.
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