Meta Platforms (NASDAQ:META) Stock Price Up 1.9% – Here’s Why

by · The Markets Daily

Meta Platforms, Inc. (NASDAQ:META – Get Free Report)’s share price was up 1.9% during mid-day trading on Monday. The company traded as high as $746.70 and last traded at $741.90. Approximately 13,745,467 shares traded hands during mid-day trading, a decline of 22% from the average session volume of 17,523,055 shares. The stock had previously closed at $728.08.

Trending Headlines about Meta Platforms

Here are the key news stories impacting Meta Platforms this week:

  • Positive Sentiment: Muse strengthens Meta’s e-commerce opportunity: Meta’s AI shopping agent is reportedly completing purchases of products such as vintage wine and Levi’s jeans, potentially diverting transactions from Amazon. Shopify’s support for Muse could also help Meta build a broader commerce ecosystem. Meta’s Muse is already pulling one CEO’s purchases away from Amazon
  • Positive Sentiment: AI is improving advertising economics: Analysts argue that Meta’s large user base and advertising machine can fund major AI investments. AI-driven targeting, engagement and pricing are supporting revenue growth, while bullish commentary suggests Muse and other AI products could create additional upside. Meta Platforms: The AI Spending Looks Crazy; The Economics Don’t
  • Positive Sentiment: Long-term nuclear power access supports AI expansion: The Department of Energy plans to provide Vistra with approximately $4.2 billion to expand nuclear output. Much of the additional capacity is covered by a 20-year power purchase agreement with Meta, helping secure reliable electricity for data centers and reducing a potential infrastructure constraint. Vistra Gets $4.2B Federal Loan to Add Nuclear Power Meta Already Bought
  • Neutral Sentiment: Reality Labs strategy may be changing: Reports of a quieter restructuring or reduction in metaverse spending could improve capital discipline and valuation, but the details and financial impact remain unclear. Pay Attention to Meta’s Quiet Dismantling of Its Biggest Mistake
  • Negative Sentiment: Spending and legal risks remain: Meta may spend roughly $130 billion to $145 billion on 2026 capital expenditures, raising questions about returns on AI infrastructure. Lawsuits involving training data and intellectual property could further pressure its balance sheet or constrain AI development. Meta AI Plans Could Be Crippled By Lawsuits
  • Negative Sentiment: Regulatory and macroeconomic headwinds persist: Meta is challenging U.K. demands for online-safety data, while executives face questioning about AI risks in New York. Separately, investor Steve Weiss trimmed his Meta position as Treasury yields approached 5.26%, highlighting valuation sensitivity to higher rates. Meta, TikTok, X challenge UK watchdog over online safety data demands

Analyst Ratings Changes

A number of brokerages have commented on META. BMO Capital Markets dropped their price objective on shares of Meta Platforms from $720.00 to $580.00 and set a “market perform” rating on the stock in a research report on Thursday, July 30th. Sanford C. Bernstein restated an “outperform” rating and set a $800.00 target price (down from $850.00) on shares of Meta Platforms in a research note on Thursday, July 30th. Loop Capital increased their price target on shares of Meta Platforms from $740.00 to $955.00 and gave the company a “buy” rating in a research note on Thursday, September 24th. Robert W. Baird reduced their price objective on shares of Meta Platforms from $830.00 to $750.00 and set an “outperform” rating for the company in a research report on Thursday, July 30th. Finally, Monness Crespi & Hardt upped their target price on shares of Meta Platforms from $730.00 to $830.00 and gave the company a “buy” rating in a report on Monday, September 28th. Three analysts have rated the stock with a Strong Buy rating, forty-four have issued a Buy rating and ten have assigned a Hold rating to the stock. According to data from MarketBeat, Meta Platforms presently has a consensus rating of “Moderate Buy” and a consensus price target of $787.86.

Get Our Latest Stock Report on Meta Platforms

Meta Platforms Stock Performance

The company has a market cap of $1.89 trillion, a price-to-earnings ratio of 27.94, a price-to-earnings-growth ratio of 1.27 and a beta of 1.19. The firm has a 50-day simple moving average of $625.52 and a 200 day simple moving average of $615.98. The company has a quick ratio of 2.23, a current ratio of 2.23 and a debt-to-equity ratio of 0.32.

Meta Platforms (NASDAQ:META – Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The social networking company reported $6.18 earnings per share for the quarter, missing the consensus estimate of $7.19 by ($1.01). The firm had revenue of $60.80 billion during the quarter, compared to analyst estimates of $60.22 billion. Meta Platforms had a net margin of 29.83% and a return on equity of 33.18%. Meta Platforms’s revenue was up 28.0% compared to the same quarter last year. During the same period in the previous year, the company posted $7.14 earnings per share. On average, sell-side analysts predict that Meta Platforms, Inc. will post 27.94 earnings per share for the current fiscal year.

Meta Platforms Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Monday, September 28th. Investors of record on Monday, September 21st were given a $0.5250 dividend. The ex-dividend date was Monday, September 21st. This represents a $2.10 annualized dividend and a yield of 0.3%. Meta Platforms’s dividend payout ratio is 7.91%.

Insider Buying and Selling

In other news, CEO Mark Zuckerberg sold 27,474 shares of the company’s stock in a transaction dated Thursday, September 24th. The shares were sold at an average price of $777.44, for a total value of $21,359,386.56. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Christopher K. Cox sold 40,000 shares of the stock in a transaction dated Monday, September 21st. The stock was sold at an average price of $712.76, for a total transaction of $28,510,400.00. Following the sale, the insider owned 184,516 shares of the company’s stock, valued at $131,515,624.16. This trade represents a 17.82% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 146,647 shares of company stock worth $99,886,901 in the last 90 days. Company insiders own 13.53% of the company’s stock.

Hedge Funds Weigh In On Meta Platforms

Several institutional investors have recently bought and sold shares of the company. Advantage Trust Co purchased a new position in shares of Meta Platforms in the 2nd quarter valued at about $28,000. Niles Investment Management LLC purchased a new position in Meta Platforms in the fourth quarter valued at about $29,000. Philadelphia Investment Partners LLC acquired a new stake in shares of Meta Platforms during the 2nd quarter valued at approximately $32,000. Horizons Wealth Management purchased a new stake in shares of Meta Platforms during the 3rd quarter worth approximately $33,000. Finally, Axiom Investment Management LLC purchased a new stake in shares of Meta Platforms during the 1st quarter worth approximately $36,000. 79.91% of the stock is owned by institutional investors and hedge funds.

Meta Platforms Company Profile

(Get Free Report)

Meta Platforms, Inc is a technology company that develops social networking, messaging, virtual and augmented reality, and artificial intelligence products. The company operates a global family of apps that includes Facebook, Instagram, Messenger, WhatsApp and Threads, enabling users to connect, communicate, share content and discover communities.

Meta generates most of its business through digital advertising displayed across its platforms. Its products serve individuals, creators, businesses and organizations in markets around the world, while its advertising tools help businesses reach audiences based on factors such as interests, activity and demographics.

Through its Reality Labs division, Meta develops virtual and augmented reality hardware, software and services, including the Meta Quest line of headsets and related experiences.

See Also