Morgan Stanley raises Meta PT to $850, maintains Overweight rating.

Thursday, Jul 31, 2025 8:03 am ET1min read

Morgan Stanley raises Meta PT to $850, maintains Overweight rating.

Title: Morgan Stanley Raises Meta Platforms' Stock Price Target to $850

July 02, 2025

Morgan Stanley has significantly boosted its price target for Meta Platforms Inc. (NASDAQ:META), raising it to $850 from $750, while maintaining an Overweight rating on the stock. The investment bank's decision is underpinned by strong second-quarter results and third-quarter guidance that indicate better-than-expected engagement and monetization metrics driven by GPU-enabled algorithmic improvements [1].

Meta's impressive performance is reflected in its earnings per share (EPS), which reached $7.14 in the second quarter of 2025, exceeding expectations by 22.05%. Additionally, revenue for the period came in at $47.5 billion, surpassing forecasts by 6.26%. These robust financial results have led several other firms to raise their price targets for Meta, with DA Davidson and BofA Securities both increasing their targets to $825 and $900, respectively [1].

Morgan Stanley's revenue estimates for Meta have been revised upwards by approximately 3% for 2025 and 4% for 2026, while earnings per share estimates were raised by 5% for 2025 and 9% for 2026. The investment bank notes that Meta's improving core business can fund both current operations and long-term projects while driving higher profitability [1].

The bull case scenario for Meta, as per Morgan Stanley, is set at $1,100, representing a 41% upside potential. This would imply a multiple of approximately 31 times the firm’s bull case 2026 earnings per share estimate [1]. Morgan Stanley's optimism is supported by Meta's unique position to benefit from advancements in artificial intelligence, as highlighted by several recent analyst reports [2].

References:
[1] https://ng.investing.com/news/analyst-ratings/morgan-stanley-raises-meta-platforms-stock-price-target-to-850-on-ai-growth-93CH-2035766
[2] https://www.investing.com/news/analyst-ratings/morgan-stanley-raises-meta-platforms-stock-price-target-to-850-on-ai-growth-93CH-4162166

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