JPMorgan raises Meta stock price target citing growth potential

Published 04/06/2025, 11:32
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On Wednesday, JPMorgan analysts adjusted their outlook on Meta Platforms Inc. (NASDAQ: NASDAQ:META) by increasing the stock’s price target to $735 from $675, with the stock currently trading at $666.85. The analysts maintained an Overweight rating for the company, emphasizing Meta’s strong position in the social media landscape and its strategic focus on long-term growth opportunities. According to InvestingPro data, 20 analysts have recently revised their earnings estimates upward for the upcoming period, reflecting growing confidence in Meta’s trajectory.

The analysts highlighted Meta’s extensive reach and engagement, which continue to produce network effects and offer significant value to advertisers. They pointed out that Meta’s dominance in the social graph and its competitive advantages contribute to its potential as a long-term blue-chip company. This is reflected in Meta’s impressive financial metrics, including an industry-leading gross profit margin of 81.77% and robust revenue growth of 19.37% over the last twelve months.

Meta’s commitment to advancing in the areas of artificial intelligence and the Metaverse was also noted. The company is investing heavily in these areas, aiming to capitalize on major growth opportunities while maintaining financial discipline.

JPMorgan’s report acknowledged that Meta’s ambitious goals are leading to increased infrastructure investments. Despite this, the analysts project solid revenue and earnings per share growth in 2026, citing Meta’s strong track record of generating returns from increased spending.

The analysts’ positive outlook on Meta reflects confidence in the company’s ability to navigate its growth strategy while continuing to deliver value to shareholders. InvestingPro analysis supports this view with an overall Financial Health score of "GREAT," offering subscribers access to over 30 additional key metrics and insights. Discover Meta’s complete financial story and access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers.

In other recent news, Meta Platforms is making significant strides in artificial intelligence (AI) by planning to enable brands to fully create and target advertisements using AI tools by the end of 2026. This development aims to allow advertisers to provide a product image and budget, after which Meta’s AI will manage the ad creation process, including image, video, and text generation, along with user targeting on Instagram and Facebook. Additionally, Meta plans to offer personalized ads using AI, which will show different ad versions in real time based on factors like user geolocation. In another development, JMP analysts have maintained a Market Outperform rating for Meta Platforms with a price target of $750, highlighting the importance of AI skills in the workforce. The analysts noted that AI-related skills could boost worker wages by up to 20%, reflecting Meta’s commitment to AI as a key business strategy. Meanwhile, a German cabinet member has proposed a 10% tax on major internet platforms like Meta, which could increase trade tensions between Germany and the United States. This tax proposal is part of a broader agenda to ensure digital companies contribute more to society.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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