Here's Why Facebook Remains A 'Top-Pick' Ahead Of Developer Conference

In a report published Monday, JMP Securities analyst Ronald Josey commented that Facebook Inc (NASDAQ: FB) remains a "top-idea" as recent checks have shown the company continues to gain share of ad budgets.

Josey noted three key themes and topics that Facebook may discuss during its upcoming developer conference, F8.

First, Josey expects engagement trends and product updates with a focus on events, publisher partners and local products. Second, the analyst expects ad product innovation given Facebook's more than two million advertisers. Finally, Facebook should discuss updates around Instagram, WhatsApp and Messenger.

"We believe that Facebook is well-positioned to continue taking share of the overall advertising environment with multiple near-term catalysts such as video, Instagram, and the Facebook Audience Network," Josey wrote. "Long-term catalysts around Messenger, WhatsApp, and Oculus, coupled with the success in building large audiences across multiple apps."

The analyst also projected Facebook will see $16.9 billion in revenue through fiscal 2015, marking a 42.9 percent year-over-year increase. The company is expected to earn $2.08 per share in the fiscal year, an increase from the $2.04 per share previously estimated. Fiscal 2016 earnings per share estimates were also bumped higher to $2.64 from a previous $2.56.

Shares remain Market Outperform rated with a price target increased to $97 from a previous $94.