Meta Platforms Acquires New Stake by Soroban Capital: Analysts Forecast Upside, GuruFocus Sees Potential Downside

Soroban Capital acquired 574,000 shares of Meta Platforms (META) in Q2 2025, valued at $423.7 million. Wall Street analysts forecast a potential upside of 8.54% to $848.96, while GuruFocus GF Value suggests a potential downside of 7.5% to $723.45.

Soroban Capital, a prominent investment firm, made significant moves in the second quarter of 2025, acquiring new positions in several key companies. Among these, Soroban Capital's acquisition of 574,000 shares of Meta Platforms (NASDAQ:META) stands out. The investment, valued at $423.7 million, reflects the firm's belief in Meta's long-term prospects and strategic importance in the tech sector.

The acquisition comes as Meta Platforms continues to invest heavily in its AI infrastructure, a move that has been both praised and scrutinized by analysts. In Q2 2025, Meta reported robust advertising revenue of $39.1 billion, up 22% year-over-year, and free cash flow of $18.9 billion. However, the company's shift towards debt financing for its AI ambitions has raised concerns among some investors [1].

Wall Street analysts are cautiously optimistic about Meta's stock price. According to 61 analysts, the one-year price target for Meta Platforms Inc averages at $848.50, reflecting a prospective upside of 11.38% from the current share price of $761.83. However, GuruFocus's GF Value analysis suggests a potential downside of 14.77% for Meta's stock price one year from now, based on its proprietary metric [2].

The divergence in analyst opinions highlights the mixed signals from the market regarding Meta's future prospects. While the company's strong performance in the digital advertising space is evident, the increased focus on AI infrastructure and debt financing raise concerns about potential financial risks. Soroban Capital's investment in Meta Platforms, therefore, reflects a calculated risk that the firm believes will pay off in the long run.

References:
[1] https://seekingalpha.com/news/4485806-soroban-capital-bets-on-meta-exits-costar-among-q2-trades
[2] https://www.gurufocus.com/news/3048912/meta-platforms-meta-secures-29b-for-louisiana-data-center-expansion