Meta Platforms (NASDAQ:META) Shares Down 2.4% After Insider Selling

Meta Platforms, Inc. (NASDAQ:META) shares were down 2.4% on Friday after an insider sold shares in the company. The company traded as low as $660.80 and last traded at $665.75. 27,305,931 shares traded hands during mid-day trading, an increase of 60% from the average daily volume of 17,040,072 shares. The stock had previously closed at $682.31.

Specifically, insider Christopher Cox sold 20,000 shares of the company’s stock in a transaction on Tuesday, September 15th. The shares were sold at an average price of $675.23, for a total transaction of $13,504,600.00. Following the completion of the sale, the insider directly owned 224,516 shares of the company’s stock, valued at approximately $151,599,938.68. This represents a 8.18% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Javier Olivan sold 629 shares of Meta Platforms stock in a transaction on Monday, September 14th. The stock was sold at an average price of $657.73, for a total transaction of $413,712.17. Following the completion of the transaction, the chief operating officer owned 1,232 shares in the company, valued at $810,323.36. This trade represents a 33.80% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In other Meta Platforms news, COO Javier Olivan sold 946 shares of the company’s stock in a transaction dated Monday, September 14th. The shares were sold at an average price of $657.73, for a total transaction of $622,212.58. Following the completion of the sale, the chief operating officer directly owned 10,716 shares in the company, valued at $7,048,234.68. This represents a 8.11% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analyst Ratings Changes

Several research firms recently weighed in on META. The Goldman Sachs Group cut their price objective on Meta Platforms from $815.00 to $725.00 and set a “buy” rating for the company in a research report on Thursday, July 30th. Bank of America dropped their price target on Meta Platforms from $835.00 to $810.00 and set a “buy” rating on the stock in a research report on Thursday, July 30th. Mizuho set a $750.00 price target on Meta Platforms in a report on Thursday, July 30th. Monness Crespi & Hardt reduced their price objective on Meta Platforms from $890.00 to $730.00 and set a “buy” rating for the company in a research report on Thursday, July 30th. Finally, Phillip Securities raised shares of Meta Platforms to a “strong-buy” rating in a research report on Monday, August 3rd. Four research analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating and nine have given a Hold rating to the stock. According to MarketBeat, Meta Platforms has a consensus rating of “Moderate Buy” and a consensus price target of $788.88.

Meta Platforms News Roundup

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

• Positive Sentiment: Meta’s Muse personal AI agent reached No. 1 among free apps on Apple’s U.S. App Store, surpassing ChatGPT shortly after launch. The early adoption strengthens the case that Meta can build a consumer AI business alongside its advertising operations. Meta’s Muse Tops Apple’s U.S. Free App Chart
• Positive Sentiment: Analysts see potential for Muse, Meta One subscriptions, AI-powered commerce, and future commissions to diversify revenue beyond advertising. Meta One reportedly combines premium features across Facebook, Instagram, and WhatsApp, while Muse can assist with shopping, travel, calls, and other tasks. Meta Platforms: Get In Before September 23
• Positive Sentiment: Bank of America estimates Meta could save approximately $8.5 billion in 2027 by shifting AI workloads to its own MTIA chips. Lower reliance on third-party processors could eventually improve margins and offset some infrastructure costs. Meta Connect on September 23 is also viewed as a potential catalyst for additional product announcements. Meta Can Save $8.5 Billion in 2027 by Using Its Own MTIA Chips
• Neutral Sentiment: Muse’s rapid popularity is encouraging, but its free tier may limit near-term revenue while generating substantial computing costs. Analysts remain divided over whether users will trust Meta with sensitive data and passwords, and whether paid adoption can reach levels needed to materially lift earnings. Meta’s Muse Agent Has Wall Street Divided on Its AI Potential
• Negative Sentiment: Meta’s AI investment is pressuring cash generation. Reports highlight that free cash flow fell by more than 90% as the company increased capital expenditures, creating concern that the AI payoff may take years to materialize. The sharp recent rally also increases the risk of profit-taking. Why Meta Could Keep Surprising Wall Street
• Negative Sentiment: Legal and reputational concerns remain an overhang. A German court found Meta liable for fraudulent third-party advertisements, while regulators and its Oversight Board criticized safeguards against deepfakes. Smart glasses are also facing privacy scrutiny in France. German Court Rules Meta Liable for Fake Ads
• Negative Sentiment: Chief Product Officer Christopher Cox sold 20,000 shares worth about $13.5 million under a pre-arranged Rule 10b5-1 plan. The scheduled nature reduces its significance, but the sale may modestly weigh on sentiment after the stock’s strong run. SEC Insider Trading Filing

Meta Platforms Trading Down 2.4%

The business has a 50-day moving average price of $606.40 and a 200-day moving average price of $609.40. The company has a quick ratio of 2.23, a current ratio of 2.23 and a debt-to-equity ratio of 0.32. The firm has a market capitalization of $1.70 trillion, a P/E ratio of 25.08, a PEG ratio of 1.17 and a beta of 1.25.

Meta Platforms (NASDAQ:META) last issued its earnings results on Wednesday, July 29th. The social networking company reported $6.18 EPS for the quarter, missing the consensus estimate of $7.19 by ($1.01). Meta Platforms had a return on equity of 33.18% and a net margin of 29.83%.The firm had revenue of $60.80 billion during the quarter, compared to the consensus estimate of $60.22 billion. During the same period last year, the business earned $7.14 earnings per share. The firm’s revenue for the quarter was up 28.0% compared to the same quarter last year. Analysts anticipate that Meta Platforms, Inc. will post 27.93 earnings per share for the current year.

Meta Platforms Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, September 28th. Stockholders of record on Monday, September 21st will be paid a $0.525 dividend. The ex-dividend date is Monday, September 21st. This represents a $2.10 dividend on an annualized basis and a dividend yield of 0.3%. Meta Platforms’s dividend payout ratio is currently 7.91%.

Hedge Funds Weigh In On Meta Platforms

Hedge funds and other institutional investors have recently made changes to their positions in the business. Auto Owners Insurance Co increased its position in Meta Platforms by 76,587.7% in the fourth quarter. Auto Owners Insurance Co now owns 105,292,277 shares of the social networking company’s stock worth $69,502,379,000 after purchasing an additional 105,154,977 shares during the period. Norges Bank acquired a new position in Meta Platforms during the 4th quarter valued at about $22,152,075,000. Corient Private Wealth LP lifted its position in Meta Platforms by 723.1% during the 2nd quarter. Corient Private Wealth LP now owns 8,801,764 shares of the social networking company’s stock valued at $4,957,946,000 after purchasing an additional 7,732,446 shares during the period. Jupiter Topco LLC bought a new position in shares of Meta Platforms in the 2nd quarter valued at about $2,948,486,000. Finally, Corient Private Wealth LLC boosted its stake in shares of Meta Platforms by 488.1% in the 4th quarter. Corient Private Wealth LLC now owns 5,466,595 shares of the social networking company’s stock valued at $3,608,445,000 after purchasing an additional 4,537,076 shares during the last quarter. 79.91% of the stock is owned by institutional investors.

About Meta Platforms

Meta Platforms, Inc develops technologies that help people connect, communicate and build communities online. The company’s principal products include Facebook, Instagram, Messenger, WhatsApp and Threads, which enable social networking, messaging, content sharing and digital communication.

Meta generates most of its business through advertising displayed across its family of apps. It also develops artificial intelligence technologies, business messaging tools and hardware and software through its Reality Labs division, including Quest virtual- and mixed-reality devices and related experiences.

The company was founded as Facebook in 2004 by Mark Zuckerberg and was renamed Meta Platforms in 2021 to reflect its broader focus on building the metaverse.