Meta Platforms
Long

META - Another great earnings, allowing us to collect value?

173
Hi guys ,we would be looking into our analysis for META stock.

Meta Platforms Inc. has demonstrated robust financial performance, underscoring its strategic investments in artificial intelligence (AI) and digital advertising.

Strong Financial Performance

In Q4 2024, Meta reported revenue of $48.39 billion, marking a 21% increase year-over-year. Net income surged by 49% to $20.84 billion, with diluted earnings per share (EPS) rising 50% to $8.02. The company's operating margin improved to 48%, up from 41% the previous year, reflecting enhanced operational efficiency.

AI-Driven Advertising Growth

Meta's advancements in AI have significantly bolstered its advertising capabilities. In Q3 2024, advertising revenue grew by 18.6% year-over-year, reaching $39.89 billion. The integration of AI technologies has enhanced ad targeting and delivery, contributing to this growth.

Our Confidence

Overall analysis maintains a bullish outlook on Meta's stock, with an average price target of approximately $634, suggesting a potential upside of around 17% from current levels. The company's strategic focus on AI and its strong financial results support this positive sentiment.
In summary, Meta's strong earnings report, driven by AI advancements and advertising growth, positions the company favorably for continued success in the evolving digital landscape.

📌 Trade Plan
📈 Entry: 550
✅ Target: 630 - below the ATH to give an achievable destination
❌ SL: 480 - below the support zone to protect the trade
Note
Total Revenue: $42.3 billion, up 16% year-over-year.

Total Expenses: $24.8 billion, up 9% year-over-year.

Operating Income: $17.6 billion, representing a 41% operating margin.

Free Cash Flow: $10.3 billion.

Cash and Marketable Securities: $70.2 billion.

Debt: $28.8 billion.

Family of Apps Revenue: $41.9 billion, up 16% year-over-year.

Family of Apps Ad Revenue: $41.4 billion, up 16% year-over-year.

Reality Labs Revenue: $412 million, down 6% year-over-year.

Reality Labs Operating Loss: $4.2 billion.

Capital Expenditures: $13.7 billion, driven by investments in servers, data centers, and network infrastructure.

Employee Headcount: Over 76,800 employees, up 4% quarter-over-quarter.

Q2 2025 Revenue Guidance: $42.5 billion to $45.5 billion.

Full Year 2025 Expense Guidance: $113 billion to $118 billion.

Full Year 2025 CapEx Guidance: $64 billion to $72 billion.

Update on the earnings call from Meta.

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