Meta Platforms (NASDAQ:META) Shares Climb 1.4% – Should You Buy?

Shares of Meta Platforms, Inc. (NASDAQ:META) traded up 1.4% during trading on Wednesday. The stock traded as high as $643.09 and last traded at $630.00. 32,183,875 shares traded hands during trading, an increase of 78% from the average session volume of 18,109,389 shares. The stock had previously closed at $621.03.

More Meta Platforms News

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

• Positive Sentiment: Meta’s U.S. bond sale attracted about $58 billion in orders, substantially more than the amount it sought to raise. The company raised $15 billion, while its debut euro-bond sale also drew record orders. Strong demand suggests investors remain willing to fund Meta’s expansion. Reuters: Meta raises $15 billion in five-part US bond sale Reuters: Meta draws record orders for debut euro bond sale
• Positive Sentiment: Investor Bill Ackman called META “incredibly undervalued,” arguing that the company’s AI spending can create value. That view may help reassure investors worried that infrastructure costs will outweigh future returns. Yahoo Finance: Bill Ackman on Meta’s AI spending and valuation
• Neutral Sentiment: Meta is seeking roughly $9.2 billion through euro-denominated bonds spanning maturities from four to 38 years, adding to its U.S. borrowing to finance AI investment. The fundraising supports expansion but increases the company’s debt and financing commitments. The Wall Street Journal: Meta seeks to raise $9.2 billion in debut euro bond sale
• Negative Sentiment: Strong demand did not eliminate the cost of borrowing: a report said Meta agreed to a 7.5% yield on a 30-year bond. That expense highlights investor concerns about the enormous funding needs of AI and data-center expansion. 24/7 Wall St.: Meta’s 30-year borrowing cost and bond demand
• Negative Sentiment: Reports also flag possible tighter rules for data-center developers, including Meta. Any new restrictions could complicate or raise the cost of building the infrastructure needed for its AI plans. Yahoo Finance: Data center developers may face tighter rules

Analyst Upgrades and Downgrades

A number of equities research analysts have recently issued reports on the stock. Loop Capital upped their price objective 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. Jefferies Financial Group boosted their price target on shares of Meta Platforms from $710.00 to $875.00 and gave the stock a “buy” rating in a research note on Tuesday, September 22nd. Arete Research upped their price target on shares of Meta Platforms from $735.00 to $806.00 and gave the company a “buy” rating in a research report on Wednesday, September 16th. Benchmark reaffirmed a “hold” rating on shares of Meta Platforms in a research note on Thursday, August 27th. Finally, Wolfe Research reiterated an “outperform” rating and issued a $700.00 price objective on shares of Meta Platforms in a report on Thursday, July 30th. Three research analysts have rated the stock with a Strong Buy rating, forty-seven have issued a Buy rating and seven have issued a Hold rating to the company’s stock. According to MarketBeat, Meta Platforms currently has a consensus rating of “Moderate Buy” and an average price target of $833.12.

Meta Platforms Stock Up 1.4%

The company has a market capitalization of $1.61 trillion, a P/E ratio of 21.48, a price-to-earnings-growth ratio of 1.05 and a beta of 1.28. The company has a current ratio of 1.90, a quick ratio of 1.90 and a debt-to-equity ratio of 0.30. The stock’s fifty day moving average is $672.41 and its 200 day moving average is $632.16.

Meta Platforms (NASDAQ:META) last announced its quarterly earnings results on Thursday, October 22nd. The social networking company reported $7.40 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $6.54 by $0.86. Meta Platforms had a net margin of 31.15% and a return on equity of 30.73%. The business had revenue of $64.60 billion for the quarter, compared to analyst estimates of $63.34 billion. During the same quarter last year, the firm earned $7.25 EPS. The company’s revenue was up 26.1% on a year-over-year basis. Research analysts predict that Meta Platforms, Inc. will post 29.01 EPS for the current fiscal year.

Meta Platforms Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, September 28th. Investors of record on Monday, September 21st were paid a $0.5250 dividend. The ex-dividend date of this dividend was Monday, September 21st. This represents a $2.10 annualized dividend and a dividend yield of 0.3%. Meta Platforms’s dividend payout ratio (DPR) is presently 7.16%.

Insider Activity at Meta Platforms

In other Meta Platforms news, insider Christopher Cox sold 40,000 shares of the company’s stock in a transaction that occurred on 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 completion of the transaction, the insider owned 184,516 shares of the company’s stock, valued at $131,515,624.16. This represents a 17.82% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Mark Zuckerberg sold 27,474 shares of the stock in a transaction that occurred on Thursday, September 24th. The stock was sold at an average price of $777.44, for a total value of $21,359,386.56. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 149,515 shares of company stock worth $102,183,520 over the last 90 days. 13.53% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in META. Texas Bank & Trust Co grew its holdings in Meta Platforms by 3.3% in the third quarter. Texas Bank & Trust Co now owns 1,415 shares of the social networking company’s stock worth $1,026,000 after purchasing an additional 45 shares during the period. Gryphon Financial Partners LLC boosted its position in shares of Meta Platforms by 1.8% in the 3rd quarter. Gryphon Financial Partners LLC now owns 32,340 shares of the social networking company’s stock worth $23,452,000 after purchasing an additional 583 shares in the last quarter. Leuthold Group LLC boosted its position in shares of Meta Platforms by 9.6% in the 3rd quarter. Leuthold Group LLC now owns 20,939 shares of the social networking company’s stock worth $15,185,000 after purchasing an additional 1,838 shares in the last quarter. Palacios Wealth Management LLC boosted its position in shares of Meta Platforms by 2.2% in the 3rd quarter. Palacios Wealth Management LLC now owns 7,982 shares of the social networking company’s stock worth $5,788,000 after purchasing an additional 172 shares in the last quarter. Finally, Kohmann Bosshard Financial Services LLC grew its stake in shares of Meta Platforms by 5.6% in the 3rd quarter. Kohmann Bosshard Financial Services LLC now owns 2,514 shares of the social networking company’s stock worth $1,822,000 after buying an additional 134 shares during the last quarter. 79.91% of the stock is currently owned by institutional investors.

Meta Platforms Company Profile

Meta Platforms, Inc is a technology company that develops social networking, messaging, virtual and augmented reality, and artificial intelligence products. The company’s principal platforms include Facebook, Instagram, Messenger, WhatsApp, and Threads, which enable users to connect, communicate, share content, and discover products and services.

Meta also operates Reality Labs, its division focused on virtual, augmented, and mixed reality technologies. Reality Labs develops products such as Meta Quest virtual reality headsets and related software and experiences, along with research and hardware intended to support immersive computing.