Stephen Weiss, Founder, Short Hills Capital PartnersMeta Platforms IncMETAPARTIAL SELLSep 23, 2026

It hasn't had a great year (it's flat). AI development at Meta is underappreciated. Is a great stock to own. It trades at only 20x sales.

The overhang is that, despite good numbers from their ad business and AI's impact, Meta is still spending a lot building data centres--can Meta earn good returns on all those centres? However, Muse shows they can build productive things with AI. Despite the recent rally, he'd still buy it.

It's gone from $600 to $700 in a short time and it's impressive, because they will sell excess compute.  Meta is kind of cheap.

Re: the safety debate and the European ruling, it doesn't impact her thesis on Meta. To her, Meta remains a huge cash-flow generator, earnings growth is significant and they're past the safety issue. 

Among the big tech CEOs, Zuckerberg will be the best at navigating the AI trends.

They're still generating huge amounts of cash despite all their AI spending. Trades at only 20x PE and down 2% this year after a huge run in 2025. Doesn't know if their paid subscriptions will work or not. But they keep doing things efficiently and ahead of the curve. They get things right without being overly aggressive. Their ad business remains huge.

The market is returning to the Mag 7 because of its safe performance and returning to AI companies that prove they can generate ROI. Meta's CEO can navigate any troubled AI environment. Their debt costs are low compared to peers and their valuation is attractive.

Is up nearly 6% this week and is the cheapest hyperscaler at 18.1x PE. Buy dips. Is developing AI and he's confident in it.

They will have AI agents next and what's cool is that Meta has billions of users who can distribute it. 

You could buy this one if you're brave. Lots of hidden value.

Court trials and big settlements are largely done. Valuation today pretty attractive. Its data centre buildout is the reason to own. One of the most under-earning data centre companies out there, as they decided to keep excess capacity for themselves. That capacity can either be used to develop great products (adds revenue), or to rent out (again, adds revenue). 

Trades at 14-15x PE. Yield is 0.35%.

It's his largest position. It's down due to the lawsuit about social media addiction among children. Their moat is that half the planet uses Instagram, Whatsapp or Facebook daily. Is there social media addiction? Yes. Are children not developed enough to use them? Yes. Weakness now is an opportunity, as it trades below 20x PE. Strong cash generation. Watch their capex spend--wants to see returns, but has faith in the CEO.

Lawsuits are a real concern. One of the best at selling ads, and AI can enhance that. Ad revenue is growing. No underlying cloud business, but spending so much on AI. Being punished more than they should, they'll figure it out.

It's a 2027 story on compute which will enjoy great tailwinds for the rest of the year.