NASDAQ:META

Meta Platforms, Inc. (META)

593.87
-1.32 (0.22%)
as of Jul 27, 2026, 8:00:00 pm Market Open.
94 watching
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Investor Insights
star iconJul 26, 2026, 12:00 am

This summary was created by AI, based on 4 opinions in the last 12 months.

Meta Platforms, Inc. (META-Q) recently showcased a strong performance by reporting earnings of $8.88 per share, surpassing estimates and achieving significant revenue of $59.89 billion, which also exceeded expectations. However, despite an initial surge of 10% following these results and optimistic statements regarding AI boosting their ad business, the stock experienced a notable decline, erasing earlier gains. This volatility was further compounded by CEO Mark Zuckerberg's announcement of an increased capital expenditure for 2025 aimed at enhancing AI infrastructure. Market reactions have been mixed, with the stock showing resilience to some analysts who remain bullish due to its strong earnings and future growth potential, as indicated by a 12-month price target set at $805. Still, the recent plunge of 11.33% after Q3 earnings highlights market uncertainty about the long-term impact of rising capex.

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Consensus
Mixed
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Valuation
Fair Value
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DON'T BUY
They're reinventing themselves, investing more in AI and virtual reality and moving away from Facebook. They may or may not succeed. He sold 30% of his shares in June 2021 and sold the rest earlier this year. Did well with that. He's rather buy tech that is more predictable.
DON'T BUY
She sold Amazon in May--her worst trade of the year--around $110, and bought Meta around $190.
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TOP PICK

Facebook's mission is to give people the power to build community and bring the world closer together. The company builds useful and engaging products that enable people to connect and share with friends and family through mobile devices, personal computers, virtual reality headsets, and in-home devices. Social media mentions are up 2% in the past 24h.

WEAK BUY
Guided to weak Q3. Expenses are rising. Daily active users beat expectations. So many ways to monetize. Lots of catalysts. Trades at 11x 2023, 14% EPS growth. Hold your nose and buy.
HOLD
Forming a bit of a bottom. Very inexpensive valuation, about 14x forward earnings. 3.4x price to sales, has really come down. 10-11% EPS growth down from 20%, since they're going through transformation. Still growing user base. Ad revenues per user continue to grow. Watch out for competition. Reports tonight.
HOLD
It reported a weak quarter after the bell today, already down 50% from its peak. No, not a horrendous quarter. It's not worth selling.
PAST TOP PICK
(A Top Pick Jul 22/21, Down 52%) Should do better on the ad side than smaller players. 3B users, great EBITDA margins. Not expensive at 13x earnings, lots of cash on balance sheet. Free cashflow should start growing again next year. When it reports this week, look at advertising trends and if Reels is catching up to TikTok. Buy here, do well over the next couple of years.
COMMENT
They report Wednesday. He expects a beat and forecast cut. Once expectations get low enough for the metaverse, then this stock becomes a buy.
COMMENT
There is a serious overhang with the IOS changes.
DON'T BUY
He sold Meta in recent months, because it's too risky and faces competition from Tik Tok, though Meta has rolled out Reels. Meta needs to reinvent themselves through the metaverse, which is really AI. The metaverse just might be the next great thing, but can Meta support its business until then. Meta's costs are rising.
BUY
You don't fully have to believe in the metaverse to get behind this. Just look at the number of Instagram influencers who are multi-millionaires who will continue to monetize the platform.
BUY
Owns Meta and MSFT instead among FAANG. Meta trades at 12x, so he recently added more. Meta is a hated company, but look long-term.
TOP PICK
You seldom buy shares in a company below fair market value unless there's a short-term glitch. Meta is seeing several glitches at once. Yet, it owns 4 of the top 6 social media platforms and have around 3 billion daily/monthly users, which is plateuing but still increasing. Around 40% of the planet uses their platforms daily. Huge cash flow which keeps growing. Has no debt. High margins. Trades at only 12x earnings. The narrative around Meta is poor now, but this opens a buying opportunity. Meta is buying back a lot of shares these days. (Analysts’ price target is $272.89)
COMMENT
Shares plunged today after the CEO warned (in an internal memo) of hiring cutbacks because he expects one of the worst economic downturns in return history. The statement was abrasive. Meta still wants to spend money, but how in the current circumstance as they continue to build the metaverse?
COMMENT
Shares plunged today after the CEO warned (in an internal memo) of hiring cutbacks because he expects one of the worst economic downturns in return history. Tightening is not bad for a company; nothing like a crisis to make a company more efficient. The tech world felt that growth would last forever, but now there is definitely a reassessment. Job-cutting would make Jay Powell's job easier.
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