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IN PHOTO: The loading screen of the Facebook application on a mobile phone is seen in this photo illustration taken in Lavigny May 16, 2012. Facebook Inc increased the size of its initial public offering by almost 25 percent, and could raise as much as $16 billion as strong investor demand for a share of the No.1 social network trumps debate about its long-term potential to make money. Facebook, founded eight years ago by Mark Zuckerberg in a Harvard dorm room, said on Wednesday it will add about 84 million shares to its IPO, floating about 421 million shares in an offering expected to be priced on Thursday. REUTERS/Valentin Flauraud

On Monday, social Networking giant Facebook’s stock witnessed a sharp increase of 3 percent that resulted in an all-time high stock record, crossing the largest retailer Walmart’s market value. The Standard and Poor’s 500 index showed that the company finally joined the bandwagon of the top 10 companies in the world.

Along with Microsoft, Google and Apple, now Facebook would also be considered to be one of the most-valued companies. According to the Wall Street Journal, the company’s trading closed at AU$307.47 billion. The 3.7 percent stock gained, helped it to hit AU$113.53 that was previously AU$4.06. CNN reported that the company’s plan to launch interactive mobile video ads could be the reason behind such rise. Currently, it has an estimated market value of AU$ 316.52 billion whereas Walmart’s has AU$ 303.60 billion.

Walmart faced a 15 percent drop in its stock price over the year and reportedly trading at AU$93.38. It is believed that it faces tough competition from Amazon and Target and recently Walmart’s quarterly earnings report showed a 7-percent decline in profit due to the strong dollar and higher worker wages, according to Silicon Valley Business Journal. However, Walmart has the largest record in terms of total sales. In an interview with CNNMoney, Walmart’s CEO Doug McMillon expressed his admiration for Facebook and Instagram.

The company also declared to introduce ad-targeting tools on Instagram which was taken over for AU$1.29 billion in 2012. After surpassing Walmart, Facebook’s next target could be JPMorgan Chase that has an estimated market value of AU$335.90 and it could soon turn out to be true if Piper Jaffray as announced raises the stock price to AU$155.03 a share which would eventually result in a market value of AU$435.38 billion. This turnover would not only help Facebook to surpass JPMorgan Chase but also General Electric, Wells Fargo and Johnson & Johnson. However, Apple is still considered to be the most valuable company capped at AU$949.56.

Contac the writer on priya.shayani@gmail.com

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