Meta Platforms, Inc. (NASDAQ:META – Get Free Report) shares traded up 3.7% during trading on Wednesday . The company traded as high as $638.50 and last traded at $635.26. 22,476,765 shares changed hands during mid-day trading, an increase of 43% from the average session volume of 15,746,555 shares. The stock had previously closed at $612.34.
Key Headlines Impacting Meta Platforms
Here are the key news stories impacting Meta Platforms this week:
- Positive Sentiment: Meta launched global subscriptions for Instagram, Facebook, and WhatsApp, while also testing new subscription products for businesses, creators, and Meta AI users, creating additional revenue opportunities. Meta launches Instagram, Facebook, and WhatsApp subscriptions, with more to come, including AI plans
- Positive Sentiment: Analysts and market commentary highlighted solid momentum in Meta’s ad business, with AI improving engagement and pricing power, which supports revenue growth and investor sentiment. META Rides on Solid Momentum in Ad Business: A Sign of More Upside?
- Positive Sentiment: Reports noted that Meta’s AI model improvements helped drive a 3.5x increase in ad clicks on Facebook and better conversion rates on Instagram, underscoring the payoff from its AI spending. Nvidia Just Revealed Meta’s Secret AI Model Led to 3.5x Increase in Ad Clicks
- Positive Sentiment: Several recent articles argued Meta remains a long-term growth or value opportunity, reflecting continued bullish investor interest after the recent pullback. Why Meta Platforms (META) is a Top Growth Stock for the Long-Term
Analysts Set New Price Targets
A number of analysts recently commented on the stock. Citigroup restated an “outperform” rating on shares of Meta Platforms in a research report on Thursday, January 29th. Morgan Stanley lowered their price objective on shares of Meta Platforms from $825.00 to $775.00 and set an “overweight” rating for the company in a research report on Monday, March 30th. Deutsche Bank Aktiengesellschaft upped their price objective on shares of Meta Platforms from $880.00 to $920.00 and gave the company a “buy” rating in a research report on Thursday, January 29th. TD Cowen lowered their price objective on shares of Meta Platforms from $820.00 to $800.00 and set a “buy” rating for the company in a research report on Thursday, April 30th. Finally, Wedbush upped their price objective on shares of Meta Platforms from $880.00 to $900.00 and gave the company an “outperform” rating in a research report on Thursday, January 29th. Four research analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating and nine have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $840.19.
Meta Platforms Stock Performance
The stock has a market capitalization of $1.61 trillion, a price-to-earnings ratio of 23.09, a price-to-earnings-growth ratio of 1.08 and a beta of 1.25. The company has a current ratio of 2.35, a quick ratio of 2.35 and a debt-to-equity ratio of 0.24. The stock’s 50 day moving average is $617.09 and its two-hundred day moving average is $636.70.
Meta Platforms (NASDAQ:META – Get Free Report) last announced its earnings results on Wednesday, April 29th. The social networking company reported $10.44 earnings per share for the quarter, topping analysts’ consensus estimates of $6.67 by $3.77. The firm had revenue of $56.31 billion during the quarter, compared to analyst estimates of $55.56 billion. Meta Platforms had a net margin of 32.84% and a return on equity of 36.93%. The company’s revenue for the quarter was up 33.1% compared to the same quarter last year. During the same period in the prior year, the business earned $6.43 EPS. Analysts expect that Meta Platforms, Inc. will post 29.49 earnings per share for the current fiscal year.
Insider Buying and Selling
In related news, CTO Andrew Bosworth sold 7,847 shares of the company’s stock in a transaction on Monday, May 18th. The shares were sold at an average price of $607.83, for a total value of $4,769,642.01. Following the completion of the transaction, the chief technology officer directly owned 414 shares of the company’s stock, valued at approximately $251,641.62. This represents a 94.99% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Susan J. Li sold 56,571 shares of the stock in a transaction dated Friday, February 27th. The stock was sold at an average price of $644.70, for a total transaction of $36,471,323.70. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 95,471 shares of company stock valued at $60,616,955. Company insiders own 13.53% of the company’s stock.
Hedge Funds Weigh In On Meta Platforms
A number of large investors have recently modified their holdings of the business. Allen Capital Group LLC boosted its stake in shares of Meta Platforms by 4.8% during the 1st quarter. Allen Capital Group LLC now owns 15,867 shares of the social networking company’s stock worth $9,078,000 after buying an additional 727 shares during the last quarter. Glenmede Trust Co. NA boosted its stake in shares of Meta Platforms by 3.8% during the 1st quarter. Glenmede Trust Co. NA now owns 265,992 shares of the social networking company’s stock worth $152,182,000 after buying an additional 9,687 shares during the last quarter. Summit Financial Wealth Advisors LLC boosted its stake in shares of Meta Platforms by 8.0% during the 1st quarter. Summit Financial Wealth Advisors LLC now owns 1,216 shares of the social networking company’s stock worth $696,000 after buying an additional 90 shares during the last quarter. Axiom Investment Management LLC acquired a new position in shares of Meta Platforms during the 1st quarter worth about $36,000. Finally, Ritter Alpha LP acquired a new position in shares of Meta Platforms during the 1st quarter worth about $323,000. 79.91% of the stock is currently owned by institutional investors and hedge funds.
About Meta Platforms
Meta Platforms, Inc (NASDAQ: META), formerly Facebook, Inc, is a global technology company best known for building social networking services and immersive computing platforms. Founded in 2004 and headquartered in Menlo Park, California, the company operates a family of consumer-facing products and services that connect users, creators and businesses. In October 2021 the company rebranded as Meta to reflect an expanded strategic focus on augmented and virtual reality technologies alongside its social media businesses.
Meta’s core consumer products include Facebook, Instagram, WhatsApp and Messenger, which enable social networking, messaging, content sharing and community building across mobile and desktop devices.
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