Meta Platforms, Inc. (META-Q)

Sold off massively, but it and its peers can still own the world. Billions of dollars from advertising. CEO has proven to be one of the great internet entrepreneurs. Trading at 20x PE, an unbelievable multiple for a company that could grow 10-15% for the next decade. Big long-term story on AI. Yield is 0.42%.

Like every chart, taken lumps over last little while. Back to doing great things after stepping away from the metaverse. Tariffs may affect it around the edges, but not at its core. 1 in 2 people in the world uses a META product every day. Multiple is not challenging. Yield is 0.41%.

Management issues seem contained. Regulatory issues will always come up. Interestingly, EU-announced tariffs didn't touch communication services companies, which is different from past practices.

You'd think it had nothing to do with tariffs, and he's a bit pressed to explain why it's down today. It has the feel of a capitulation moment, where people are using tariffs as an excuse to sell. Baby out with bathwater.

Profit-taking in the Mag 7. Will be a leader for 2025 once we get through all this. Deeply integrated into people's lives. Digital ad spending on the rise, sales are expected to grow 15% in 2025 alone. Increases in ad pricing will continue to drive steady revenue. Smarter feeds based on AI. Spending is a bit high, but multiple ways to recoup investment. Financially solid. Yield is 0.36%.

Her target is $800, so about 37% upside. Recent market volatility might temper near-term gains. Fundamental score is 9/10.

One of the world's best businesses with 3.4B users, who check their apps multiple times a day. When you own a distribution platform, it's everything -- and that's his thesis on AI. If only it would stop the silliness of the Metaverse, the stock would rocket 30% overnight. Attractive valuation of 25x PE for a double-digit grower. Yield is 0.31%.

Still likes. Earnings last week were very strong. One of every two humans uses a META product every day. Instagram and Threads are growing very strongly. A terrific hold. Trades at only a slight premium to the market, and reasonable against its own history.

Both are in his top 5 holdings, so he'd pick both. If he had to choose one, he'd pick GOOG, mainly because it's cheaper. Silicon Valley's known about DeepSeek for a while, and BABA has an even better widget. You're going to see more innovation, especially on the software side. 

Disciplined management, as shown by recent layoffs. Outside of NA, whole world works on WhatsApp. Introducing AI into all its products. For advertising, you can reach people for pennies a shot. Yield is 0.3%.

If the CEO cosies up on whichever side the wind's blowing, that doesn't put him off. His job is to make money, not to support social causes. He puts his focus on the business and its profitability.

Good to look at the 1-year chart. A breakout from a base most always results in a nicely trending stocks. Previous resistance will become the new support, and you'd watch to see if it breaks that. Yield is 0.3%.

Nicely positioned for AI. Owns half of the world's eyeballs, great story. So many ways to monetize. Growing ~12%, trading at 22x. Can probably get cheaper. Might be able to sell calls to get some really good premiums.

Ultimately, you have to look at who can turn a profit on AI? This one can, same as MSFT can roll out its offerings as a service to existing customers for an extra fee. Has such a variety of platforms to be able to do this on. Along with GOOG, "owns" mobile advertising, which has proven to be one of the most productive forms of advertising. So that will be a targeted area for growth. Yield is 0.3%.

A cheaper name in the Mag 7 group with more growth potential. Better growth and ancillary assets than, say, AAPL. Will benefit from AI. Getting all this for the market multiple. 

One of his 4 (AMZN, META, GOOG, and MSFT) main holdings in the technology space.

Good company, at the forefront of technology. Not expensive at 24x earnings, with 21-22% EPS growth rate. Though he doesn't own it, fundamentals looks pretty solid; great technical chart with higher highs and higher lows. He owns other names like AMZN, GOOG, and MSFT.

Waiting to see results shake out. MSFT is mission-critical for households and businesses. Longer operating history than META, so this provides a stronger, competitive moat; generates more cash. MSFT came into regulatory crosshairs 25 years ago, emerged unscathed and stronger. Both are great companies, but MSFT is better.

META drawing ire of politicians, which is an unpriced risk he's steering clear of.

Reports next week. He has a pretty full position at about 7%. He'd even start a position here around $571, and add around the lower $550 range, and $525. Very good support around $520. His 12-month price target is $645. Thinks it has the biggest database of all the players out there. That's why it buys about $38-39B worth of NVDA chips, to process all that data. 

Its natural processing language model, Llama, will sell the processing of its (and others') data to software companies such as NOW and CRM. That's how it's going to monetize all that data. Thinks this stage will happen in 2025.