The Facebook sign and logo is seen in Menlo Park, California on November 4, 2016.
Josh Edelson | Josh Edelson | AFP | Getty Images
Investors should buy Facebook shares because its earnings will top expectations for the December quarter and for 2017, according to JPMorgan, which reiterated its overweight on the firm.
"We believe FB advertising remains strong overall driven by core News Feed, video, & Instagram. … Our checks with marketers & agencies also suggest continued strong demand & no significant change in trajectory," analyst Doug Anmuth wrote in a note to clients Monday. "Facebook remains our top large-cap pick."
Facebook shares are up 14 percent this month compared with the 2 percent return. The company is slated to report fourth quarter earnings on Wednesday afternoon.
