NASDAQ:META

Meta Platforms, Inc. (META)

670.66
+5.06 (0.76%)
as of Sep 15, 2026, 8:18:28 pm Market Open.
95 watching
0
BUY
He likes this chart. The up trend since early 2019 has been followed by a brief consolidation. A retest of $200 resistance would likely project back towards $220 or higher.
BUY
Anti-trust fears Privacy is an interesting topic now. Millions of people have open microphones (i.e. Alexa) in their homes--people are willing to sacrifice their privacy to enjoy the convenience of their technology. He doesn't expect Mark Zuckerberg to go to jail, not at all. Nor will Facebook go bankrupt because of anti-trust laws. There are two big car companies in the U.S., three major airlines, five big banks in Canada, and so on.
WAIT
She is on the sidelines right now. The regulatory risk is very high and she expects some kind of investigation to be forthcoming. The expectation for the company to have to monitor posts and self-regulate itself will be very difficult.
HOLD
He decided to look the other way. The real driver is Instagram. Great advertising spot. The regulatory parts makes him sit back. He wouldn't sell it if he owned it.
DON'T BUY
He does not think this is a good investment. The privacy issues and data breaches on several occasions appear to be a flaw in their business model. Their monthly and daily users have increased for some time and he thinks it will hard to maintain that growth much longer. The privacy concerns could drag on for a long time. He would stay on the sidelines.
COMMENT
If you want a company that is in the news then this is it. The business is doing just fine. Advertisers love it – Users love it. They also own Instagram and the increasing rate of growth of that is offsetting the slowing rate of growth of Facebook. He is betting that we come up with a hybrid solution of them not being a news outlet with no fake news and yet is a free speech conduit. It will be a rocky road until we get to it.
PAST TOP PICK
(A Top Pick May 28/18, Down 0.1%) Has recovered a lot this year. Most recent quarter was simple and clean. What's holding the stock back this year are the huge capital expenditures. By the end of this year, revenue and EPS should grow. "Checkout" system represents a more seamless interaction from Instagram.
DON'T BUY

The biggest overang are regulatory concerns and privacy issues. FB is trying to address these issues pro-actively with some investments. She prefers Google in the online ad space.

BUY
It's still one of the best ad platforms in the world, despite privacy issues. Instagram is the real gem with 70% of its audience under 35, and they have a shopping feature that holds great potential. He doesn't know how they'll monetize Whatsapp. The FTC fine won't hurt FB's bottom line, if it happens. He is overexposed in tech already, so he doesn't own FB, but he likes FB.
COMMENT

FANGs? None in the FANG space are good value right now. Amazon has a floor at $1650 and ceiling at $2125 -- with PE ratio of 60. Facebook has given a short term buy signal -- technical support around $187-$189 with 20-25% upside. Nvidia has hit close to full value near $180 -- he might be taking profit on this one soon. Apple had a lousy quarter, but it still beat earnings expectations. He would not touch it here. Google hit resistance the other day -- too expensive as well. Netflix has been up against resistance and unless it can break through he would not touch it. He would only consider Facebook and Amazon as holds or weak buys.

BUY ON WEAKNESS
$158.12 is his target price, and the current price has run past that...for now. Wait for a pullback FB is now at the top of his "zone."
BUY
It reports this week. If you listen only to the news and ignore the financial data, you'd conclude FB has fallen on hard times. During last year's bad headlines, they grew revenues 35%. This quarter, he expects year-over-year revenue growth to be 36%. FB boasts 2.3 billion active users. It's a great ad reveue model. Sure, there's some truth in privacy problems, but FB is trying to address them, and these are new issues for everyone.
DON'T BUY
From what he hears from his kids, he thinks users will move away from Facebook, like Snapchat. Data concerns will be a negative.
BUY
Came back strongly form the December lows. There is the regulatory scrutiny and privacy concerns but it is cheap from a valuation perceptive. Good for a patient investor. not many companies can do what they do.
PAST TOP PICK
(A Top Pick Apr 12/18, Up 7%) You need to be bullish on this name particularly given the valuation. Trading at 22 times forward earnings with a 22% EPS growth rate. That gives you a 1.0 PEG. Not many 1.0 PEGs in the technology sector. 2.3 billion active users and growing. 1.5 billion WhatsApp users. 19% ROE. No way to advertise in such a direct way. Once the clouds of the regulatory and privacy issue is removed this stock is going to be very strong.
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