Those losses right after the numbers came out. And one of the reasons facebook shares may have traded lower is because the stock had run up so much in anticipation of strong earnings in a quarter where the company beat pretty much across the board. Revenue, earnings and user numbers all better than expected. Cfo david wayner who we spoke to right after those numbers were out telling us that video as well as growing engagement particularly on mobile devices are factors driving results. We have nearly 1. 5 billion users on facebook. Thats nearly half the worlds online population. And thats growing very nicely. We added 173 Million People to facebook year over year. Thats our strongest growth in nearly two years. And those people are coming back. Weve got 65 of our monthly users coming back every day. On the Earnings Call were going to be looking for more insight into the success of those video ads as well as the role of instagram ads. And were going to be looking also for some details on the r d spending which more than dufld from the year ago quarter. And then of course any insight into forecasts for the rest of the year. Melissa, back over to you. Thank you so much, Julia Boorstin. Lets talk a little about facebook. We make the point that facebook has had a nice run since googles earnings. Without a change in the story whatsoever. In fact, the stock had been up 7 going into this report. Is that a reason to sell the stock, though . Im not so sure. These numbers were fantastic. And remember, as weve said, instagrams not even a part of this number. If you look at everybodys talking about video. If you look at the video share of total ad spend its still only about 15 . Its growing. And this is for the entire industry. These guys are the dominant player in this. So to me this is a company that sure, in fact i think a lot of people would love to see this pull back to 95 on the chart which is where you kind of have taken out this blowoff top. People would be piling into the stock at that level. Guy. I like if here. I think the quarters fine. The two numbers that stuck out to me, operating margins. 55 . That smoked what expectations were. And capex came in below 600 million. The street was looking north of 700 million. Thats a good thing. Tim made the point this had a huge runup since google in the beginning of july, traded down 91 1 2 when i did the 4 00 show. I still think the stock goes north of 100. People say at 35 times forward earnings. Its expensive. I dont think it is. You mentioned the bob peck. Lets bring him in. Suntrusts bob peck has a buy rating on the stock, 125 price target. Bob, what did you make of the quarter . Great numbers across the board. On the user side mobile grew 23 . Importantly u. S. Also grew. The daily users maintained that 65 penetration rate, u. S. And mobile grew 29 . Ad revenues up 55 , though. For a size base thats absolutely tremendous rp rpus increased. As guy said the margins expanded 200 bips. Looking for 53 or so. Incremental margins on the ebidta side were 62 . Theyre growing top line extremely fast. And doing it more profitably. I think the only reason the stocks down is the stocks up 25 over the last three months or so. A lot of expectations were baked in. Whats your top question going into this call . I want to get the op ex. I also want to get some information around instagram and well start to see that monetization hit. Also when we start to see information about whats app and messenger. When all those Revenue Streams which we dont have yet will starred to be accretive to the numbers. Well lit jump back on the call. Bob peck of suntrust. Dan nathan. I just think its important to remember. This is a 270 billion market cap company. Greater than that of general electric. Its the 13 largest, you know, stock in the s p 500. And its going to have 17 billion in sales this year. So to me this is something that is out of this world. They are having eyepopping growth and theyre taking over the social web. But its a very much loved story. When you look at a wall street analyst who has 46 buys, six holds and one sell. You have a universally loved stock. Its going to go to guys 100 level. Hes beening a is that for months now. I think its also important to remember that this stock was rangebound, 75 to 85 for most of this year. It broke out now. Theres a lot of positive sentiment. It actually went practically up to 100. Have we seen that move . Is that over . I think there actually theres probably more in here because these numbers were so good. When you have a company as big as dan was mentioning that grows revenues at 39 , 40 , thats really hard to do. But more importantly going forward, what i think investors are going to look for, i think youre going to be looking for what theyre going to have to spend to continue this growth. They mentioned half the worlds population, or half the worlds internet population is on facebook. Thats not necessarily a good thing because you get saturated. So now they have to buy somebody else or do what theyre doing with instagram. And Mark Zuckerberg has already said theyre going to have to spend money to make those revenues grow. So then do you end up in a google situation where theyre spending a lot of money and not monetizing it . Thats the risk with the stock. For now, though, i think it does blast through 100. And bob makes the point hes going to be listening for op ex. In the april quarter when they reported in april i should say they said op ex would be up as much as 65 and thats sort of what derailed the story a little bit. These margins are fantastic but i would get back to the place, i think they can grow on the advertising side again because this part of the ad spend is such a its in its infancy and if you look at the number of advertisers as a base is growing dramatically. The way theyre now pricing and targeting the cpc clicks means they can really show just how targeted and beneficial the way the advertisers can get the benefit they are paying more for this. Their margins i think will stay high on the top line. Does this make twitter look even worse . Yes. Even worse. Yes. But, i mean, twitter seems like they shot themselves in the foot. We were talking about this before. Almost you have to think did they do it on purpose because the quarter i didnt think was all that bad. You saw the initial reaction. That stock had a 39 handle. Was the guidance. Was the guidance. Twitter has horrible management. These are two social networks. I know theyre different platforms, right . Theyre still the social network. All they do is connect people and you communicate on it. And zuckerberg has proved to be a far better ceo than anybody in the space and i think twitters management is just awful and this highlights it. What i think was also highlighted is that each one of these platforms is very unique and very different. And i think twitter is not figuring out a way to monetize it there in the infancy but its a long road ahead. Whether this is what the kitchen sink was, i thought last quarter was itch kitchen sink. The bar is incredibly low. If you look at where these guys can go, the fact they havent rushed into a new ceo, the fact they are starting to monetize. Their monetization rate is still better than facebooks and if you look at just where it is, scale matters but for what these guys do, no one does what they do and that to me is very valuable and if nothing else someone now is a lot closer to buying them. I think quickly, we talked about this, are they inept or were they calculating in terms of what they said on their Conference Call . Anthony notos not a dumb guy. Zbleez not a dumb guy. And if they announce a ceo in the next couple of weeks one has to think did that conversation post earnings play into the negotiations for this new ceo . I completely agree. Just throwing it out there. We love conspiracy theories. As we head to break lets take a look at the other movers, the big movers in the afterhours session. Take a look at wynn reversing losses. The calls under way. Well hear from Ceo Steve Wynn after the break. Plus whole foods getting whacked. Big miss there. The latest headlines from that call as well. One stock is up 130 this year and its soaring in the afterhours session. Well tell what you it is when fast money comes right back. Stay tuned. Over 20 million kids everyday in our country lack access to healthy food. For the first time American Kids are slated to live a shorter life span than their parents. Its a problem that we can turn around and change. Revolution foods is a company we started to provide access to healthy, affordable, kidinspired, chefcrafted food. We looked at what are the aspects of food that will help set up kids for success . Making sure foods are made with high Quality Ingredients and prepared fresh everyday. Our collaboration with citi has helped us really accelerate the expansion of our business in terms of how many communities we can serve. Working with citi has also helped to fuel our innovation process and the speed at which we can bring new products into the grocery stores. We are employing 1,000 people across 27 urban areas and today, serve over 1 million meals a week. Until every kid has built those lifelong eating habits, well keep working. Welcome back to fast money. Im kate wrornlgz an ugly report for hotel and casino giant wynn resorts in the Second Quarter. Missing the streets projections on both the top and bottom lines. Revenues from macau took a big hit in the Second Quarter, falling 36 to 617 million. Table games turnover in the vip segment also fell 41 in the quarter in macau to 15. 5 billion from 26. 4 billion. Revenues in las vegas were down 6 from last year to 424 million for the quarter. On the Conference CallCeo Steve Wynn said their slot machine and table games are growing with one exception. Take a listen. This should come as no surprise to professionals on this call, and that is that since we were the operator of choice for the international baccarat business, namely, from china that if anything interfered with that business we would of Course Experience more of it, of a penalty in that regard than our competitors. This stock had initially fallen after the report by 2 . But now the stock is up near 1 , melissa. Back over to you. Thank you, kate rogers. Blame it on baccarat. Dan, whats your trade . Listen, the stock has been banging around just below 100. We had Las Vegas Sands last week. The stock rallied after its results. We had the june numbers from las vegas, which were down 16 year over year. That was a bit surprise og to people. I know tims been all over this. A lot of bad news is probably really in the stock at these levels and youre going to have to see some sort of major shift. Something in the macro environment in china for this thing to really break down, but that being said its got really high Short Interest and if theres ever a turn the opposite way the things going to be up above 110 very quickly. Jpmorgan had a very positive note. They said you were at a risk reward place where you wanted to own the stock. They put a 120 target on it. Its all about macau. Macau is stabilizing. Its not time for a major turn. Not a major inflection point. Crash flow strength and predictability of cash flow another big thing for these guys. Macau isnt going to turn around overnight. These are things people want to see. I think the price action very good after hours. I think 95s your bottom. Would you want to be in a stock, if you had to choose one thats leveraged to the macau story i guess it is. Or a Las Vegas Sands where Sheldon Adeleson said hes going to defend the payout. It sounds like hes really committed to keeping the dividend in play. The points these guys made are really important. The fact were bouncing on this quarter is pretty good. These are the levels we held in 2012. This was a 270ish dollar stock at the beginning of last year. Its been cut almost to a third. The fact that were rallying here with the Short Interest that dan just mentioned, about 15 , leads me to believe you dont fade this rally until it at least gets to the levels the guys just talked about, somewhere between 110 and 115. Theres nothing exciting about it. The only thing is its less bad and priced in. We still dont know how bad the slowdown in china is. Maybe you get a pop up 10 . I guess up to 110 where dan was talking about it. Beyond that its meh. Skechers out with earnings. That stock is popping. Lets get back to kate rogers. The details. Kate. Skechzers up nearly 13 in after hours trading. Blew past Second Quarter profits and sales smalts due to pent up demand from the west coast port strike and back to school. Samesore sales increased 13 for the quarter. Executives noted strong incoming order rates. July sales, positive wholesale reports and plans for Additional Stores will continue to boost sales for the second half of the year and shares are up a whopping 162 this year, melissa. Back over to you. Thank you so much, kate rogers. Skechers. Up 162 is the part that scares me. I mean, obviously the earnings are there. They had some pentup demand and its coming into it now but geez, up to th month its hard for b. K. To buy anything into this. Up 132 as of todays close not including todays pop. Stocks 145 now in the after market. Its crazy. Its not that expensive. 23, 24 times forward earnings. But the move in the stock has been parabolic. So im in the b. K. Camp. Especially if you see 2 1 2, three times normal volume tomorrow you take your profits and run. I will say, though, people are paying up for growth in this sector and you see it with some of the other guys. You see it with under armour, you see it with nike. To say that this multiple is something i dont think you are saying this, guy, but i think youre in a place here, people are willing to pay for this growth and these guys, where the expectations, were doesnt surprise its popped. I think it probably holds most of this. This is an interesting chart here. Facebook shares, theyre fighting to get into positive territory. This after the Solid Earnings beat. Well hear from the man at the helm, facebook ceo Mark Zuckerberg in his own words. In the meantime heres whats coming up on fast. Announcer first twitter, then facebook. Will linkedin be next when it reports tomorrow . Weve got your fast money earnings edge. Plus, shake shack shares are up more than 30 since going apublic back in january. Mm. This is a tasty burger. Announcer it sure is. But a big event tomorrow could have investors feeling major indigestion. And well tell you what it is when fast money returns. Whole foods at near after hours session lows. Lets get right to jane wells with the details. Jane. Yeah. John mackey just saying that they feel victimized by all the Media Coverage of what happened in new york with the overcharging. Well talk about that in a second. First coceo walter robb saying regaining sales momentum is taking longer than we would have hoped. But he said the companys making the investments that it thinks it needs to make the difference. New brand campaigns going to be this fall. Kiosk ordering. Theyre testing a new loyalty program. But a couple things to note in this samestore sales miss. 1. 3 . For one thing, the company is saying nearly that reflects nearly a negative point due to easter being shifted in the Second Quarter. But the street already knew that. And if you fold that point back in it was still a miss. The second thing is the first time weve heard the company blame californias new paid sick leave law with impacting earnings. In this case 8 million for the quarter, or a penny a share. But again, back to this investigation in new york revealing that some customers were being overcharged for produce, which whole foods admits happened. And listen to this. It says its fixing. I want to emphasize these are not systematic but rather caused by inadvertent human error. They included errors that were favorable to customers as well. These are weights and measures issues that can be found in any supermarket. All right. Lots of questions about rebuilding trust. John mackey saying we dont think our track record is any different than any other supermarket. We dont know why whole foods was singled out. We feel like were victims. And theres no magical wand we can wave to reestablish trust. Theyre just going to have to do the hard work. And finally, melissa, more on these stores theyre going to roll out. They have five theyre going to roll out next year. Theyre supposed to be smaller, cheaper. Not that small. 30,000 square feet. I think your average trader joe uss closer to 10. But they say they will be streamlined and the first one will be in the very hipstery silver Lake Neighborhood in los angeles. Back to you. It almost seems tone deaf, jane, to be talking about opening 365 stores. I understand that the time frame is spread out over stores. But still be opening to that extent when youre seeing these oh, no. Thats the name of the store. Five Stores Next Year at right. 365 is their private labels product line. Excuse me. Yeah. So five Stores Next Year. Five stores in 2017. And the market will bear that. Whats also interesting, jane, is you had mentioned kiosk ordering. Theyre just going into delivery, entering a loyal program. These are things that had existed at other supermarkets. Its odd theyre doing this now. Its almost like theyre too late to the game. I have seen some analysts say they think whole foods could gain share in the delivery business. That the type of person who would order groceries delivered mighting more of a whole foods type customer. Right. Okay. All right. Well let you hop back on the call. Jane wells, thank you. Okay. This is a disaster of a quarter. I dont think its a trust issue. I think its a i mean, its an expensive stock. 21, 22 times forward earnings. I dont think the market bears that valuation. I think thats the problem. With the competitive environment these guys are in, theres no way. Thats the big problem. Thats whats taking the stock down. But i will say 36 bucks, lets see what it does here. Because if you look at the stock on a threeyear, you look at it on a oneyear, this is the place it grinds down to and ultimately youre in a pl