Meta Platforms is the largest social media company, with 4 billion monthly active users, and a "Family of Apps" including Facebook, Instagram, Messenger, and WhatsApp. The firm's main business is packaging customer data and selling ads to digital advertisers. Meta's P/E ratio is 28.65, below the industry average, and its P/B ratio is 9.96, above the industry average. The company's revenue growth is 16.07%, outperforming the industry average of 9.25%.
Title: Meta Platforms: Analysts Raise Price Targets Amid Strong Q2 Performance
Meta Platforms, Inc. (NASDAQ: META), the world's largest social media company with 4 billion monthly active users, continues to captivate Wall Street with its robust performance and innovative strategies. Recent analyst reports and insider activity have underscored the company's potential for growth and investment.
On July 9, TD Cowen analyst John Blackledge maintained a "Buy" rating for Meta, raising the price target from $700.00 to $800.00 [1]. The firm expects Meta to beat Q2 consensus estimates, forecasting quarterly revenue growth of 16% year-over-year, 2% above expectations. This optimism is driven by continued video monetization and engagement gains, as well as accelerating digital advertising spend growth across Meta properties. Additionally, CEO Mark Zuckerberg has formed a Superintelligence unit led by former Scale AI CEO Alexandr Wang and former GitHub CEO Nat Friedman, signaling a focus on cutting-edge AI development.
Institutional investors have also shown interest in Meta. Atlantic Edge Private Wealth Management LLC, for instance, held $3,450,000 worth of Meta shares at the end of the first quarter, making it the 24th biggest position in the firm's portfolio [2]. Other hedge funds and institutional investors have increased their positions in Meta, indicating confidence in the company's future prospects.
Analysts from various brokerages have provided their insights on Meta's stock. Citigroup boosted its target price to $803.00 and gave the company a "buy" rating, while Jefferies Financial Group decreased its target price to $600.00 but maintained a "buy" rating [2]. Overall, the company has an average rating of "Moderate Buy" with an average target price of $727.95.
Meta's strong financial performance is evident in its latest earnings results. The company reported $6.43 earnings per share (EPS) for the quarter, surpassing the consensus estimate of $5.33 by $1.10. Revenue reached $42.31 billion, up 16.1% year-over-year. The business's return on equity was 38.69%, and the net margin was 39.11%.
Meta has also announced a quarterly dividend, with shareholders receiving $0.525 per share on June 26th. The dividend payout ratio is currently 8.19%, indicating a modest payout relative to earnings.
Despite the positive outlook, some analysts believe that certain AI stocks offer greater upside potential and carry less downside risk. However, Meta's strong financial performance and innovative initiatives continue to attract investors.
References:
[1] https://finance.yahoo.com/news/meta-gets-800-price-target-103715152.html
[2] https://www.marketbeat.com/instant-alerts/filing-atlantic-edge-private-wealth-management-llc-has-345-million-stock-holdings-in-meta-platforms-inc-nasdaqmeta-2025-07-10/
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