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NASDAQ:META

Meta Platforms, Inc. (META)

547.26
+3.59 (0.66%)
as of Aug 19, 2026, 2:45:25 pm Market Open.
94 watching
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Investor Insights
star iconAug 18, 2026, 12:00 am

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

Meta Platforms, Inc. has experienced a tumultuous week, highlighted by a significant drop in share price, falling over 17% following disappointing second-quarter earnings that came in below market expectations. Despite a reported earnings of $6.18 per share, which disappointed analysts who estimated $7.19, the company's revenue of $59.89 billion exceeded projections. In contrast, the previous quarter showcased a strong performance, with earnings surpassing estimates, driven by advancements in AI that boosted its ad business. However, recent endeavors to increase capital expenditures to accommodate AI infrastructure have led to uncertainty, contributing to stock volatility. Overall, analysts are divided on the trajectory of the stock, with a noticeable surge in social media mentions reflecting heightened investor sentiment.

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Consensus
Negative
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Valuation
Overvalued
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TOP PICK
They moved past their data privacy issues. It has gotten back on the offensive as an e-commerce power house. It is replacing classified adds. There is a lot of monetization potential across all its platforms. It has great free cash flow. There is lots of value. It will find lots of ways to grow in the future. (Analysts’ price target is $323.17)
PAST TOP PICK
(A Top Pick Nov 21/19, Up 36%) One of his preferred names in tech. Continues to add positions. It has more usage time than any other social network. It is important for advertisers. Revenue growth is expected to exceed 20%. Trading at 1x PEG, 27x forward earnings. Anti-trust may be a headwind but the split government makes this harder.
PAST TOP PICK
(A Top Pick Nov 11/19, Up 45%) The outlook for advertising looked bad in the spring but now the revenue estimates have gone back up. It has been a huge comeback. It is still attractive and he considers it a buy.
BUY
It delivered a fine quarterly just last week with decent numbers from its core business plus good performance in its small business initiative, great average monthly users and good growth in Whatsapp. Negative forecasts and margin pressure? He read the report and didn't find those. Yet, FB was punished by clueless investors. This week, especially today, it's bounced back in the election rally.
BUY
He continues to like it here. Digital advertising continues to grow. They are doing a bunch of the right things. Digital animadverting will continue to grow.
PAST TOP PICK
(A Top Pick Oct 17/19, Up 47%) The stock has done very well. DOJ action does not seem to affect these stocks. These companies are core needs within our society and is the backbone of what we do. In whatever form, these will be successful. Facebook counts 1/3 of the world population as a monthly active user. The fundamentals are also rising so valuations are not getting stretched.
BUY
Several big tech names report next week, but he expects this to be a winner. It popped today. FB is led by Instagram Shops, a brilliant idea to help small businesses operate online.
BUY
Loves their shops initiative (Facebook Store) which boosts small and medium businesses. The heat from Washington has come down on FB since FB became an e-commerce facilitator.
TOP PICK
Likes the deal with Reliance, the cell phone operator in India. Will drive further revenue growth. Moving full-on with e-commerce in India. Will provide attractive mediums for businesses to attract consumers. Great long-term hold. No dividend. (Analysts’ price target is $288.00)
WAIT

Number 2 or 3 name in his portfolio, next to Microsoft. People are moving more online with Instagram, etc. Growing advertiser base. Shares are extended, as they hit an all-time high today. Wait a bit, or take just a small position now. 33x earnings, 23% long term growth rate. Great value. Strong double digit revenue growth rate.

BUY
One of his biggest holdings and he sees more upside. When business recovers, this will be a big beneficiary. The threat of anti-trust action by Washington is real, however, it's politically easy to target big tech companies making money. Likely, Washington will fine these companies that they can easily pay and the politicians will target something else.
BUY
FB has many levers to pull. Their platform is only partially monetized. Small/medium-sized businesses have been adding services in droves; FB could become a commerce website is significant. Their platforms all have massive user bases. The stock isn't technically stretched now. Sure, there are worries over regulation, but regulation would take years to happen. Now at $232 is a great entry point. A pullback is possible, too.
BUY
You haven't missed the boat. You've just given up a bit of opportunity. Concentrate on the future, and less on the past. Continues to like it. Reasonable multiple PEG ratio of 1. Good solid growth. Lots of assets that haven't yet been monitized. FB will change with the privacy regulations.
DON'T BUY

Issues of privacy and hate mail. Online advertising is a continuing trend, but she's chosen Alphabet instead. FB has to keep spending money to deal with these regulatory issues. You want a very strong balance sheet. Alphabet has net cash, so they have more cash than debt and can fund their own growth.

BUY
They've gone from 0 to 80% of their revenue coming from from mobile ads. Whatsapp and Instagram have also done very well. FB will weather the storm from Washington and other governments. Their cash flow is so strong. They have so many users across the globe. Trades at a reasonably low multiple in the $20s. FB is part of the safe tech blue-chip trade. Will continue to do fine.
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