Meta Platforms (META) has taken investors on a wild ride over the past few trading sessions. Shares briefly plunged below $500 before rallying nearly 15% in a single day on Wednesday, April 9. The drama was driven by the launch of “reciprocal” tariffs against U.S. trading partners and then the announcement of a 90-day pause of those tariffs.
As one of the Magnificent 7, Meta’s impact on the overall market continues to be considerable. Its stock performance and quarterly guidance frequently act as indicators of digital advertising trends, AI monetization, and the overall health of mega-cap technology.
And despite the roller coaster ride, Meta is still a fundamentally robust business underpinned by sticky users across Facebook, Instagram, and WhatsApp, increasing ad impressions, and aggressive investment in artificial intelligence infrastructure.
The question now is whether the weakness seen recently is an opportunity for tactical buying, or if more volatility is in store. With earnings due later this month and analyst sentiment overwhelmingly bullish, Meta’s next move is now in focus.
About Meta Platforms Stock
Meta Platforms (META) owns Facebook, Instagram, Threads, and WhatsApp, and its Reality Labs unit is dedicated to augmented and virtual technology innovation. Meta is based in Menlo Park, California and has a market capitalization of nearly $1.3 trillion.
Although META shares are roughly flat in the year to date, its stock has been a winner over the long term. Shares are up about 13% over the past 52-weeks and more than 170% over the past two years.
Meta trades at a forward price-earnings multiple of 20.15x and a price-sales multiple of 7.95x, reflecting a premium valuation supported by strong profitability and consistent earnings growth.
Meta Beats Q4 Earnings Forecasts
Meta Platforms ended 2024 with a powerful earnings beat, posting EPS of $8.02 for the fourth quarter versus the Wall Street consensus of $6.68. Revenue of $48.4 billion was up 21% year-over-year. CEO Mark Zuckerberg contextualized these impressive results by saying the company continues to make “good progress” on “AI, glasses, and the future of social media.”
Analysts expect earnings per share of $5.31 for the current quarter, up 12.7% year-over-year. For the full year, EPS is projected at $25.43, up less than 7% annually.
The company must balance earnings momentum with its increased capital expenditures on AI infrastructure and model development.
What Do Analysts Expect for Meta Stock?
Meta sports a strong consensus rating of “Moderate Buy” backed by 54 analysts and has an average score of 4.67 out of 5. The distribution is overwhelmingly positive, with 46 analysts assigning a “Strong Buy,” two a “Moderate Buy,” four a “Hold,” and only two analysts issuing “Strong Sell” ratings.
Notably, this rating profile has remained consistent over the past three months, reflecting stable conviction in Meta’s strategic direction. Despite recent share price weakness, analysts continue to favor Meta’s execution in advertising, margin expansion, and AI infrastructure build-out.
