Bullish indicating open at $55-$60, IPO prices at $37
Investing.com - Cantor Fitzgerald raised its price target on Meta Platforms Inc. (NASDAQ:META) to $828.00 from $807.00 on Wednesday, while maintaining an Overweight rating on the stock. The social media giant, currently trading near its 52-week high of $747.90, has earned a "GREAT" financial health score according to InvestingPro analysis.
The firm expects Meta to report second-quarter 2025 results with upside to consensus estimates on both revenues and earnings per share, driven by outperformance in the core advertising business as tariff-related uncertainties moderated in May and June. With earnings scheduled for July 30 and impressive gross profit margins of 81.77%, InvestingPro subscribers have access to 14 additional key insights about Meta’s financial performance.
Cantor Fitzgerald anticipates Meta will guide third-quarter 2025 revenue to indicate stable year-over-year growth with little deceleration, projecting approximately $47.5-48 billion at the high end of guidance. The firm notes that while Meta is likely to reiterate its operating expense guidance, recent investments in AI talent could push expenses above the low end of the target range.
The firm’s checks with digital ad agencies and performance marketers in June and early July indicated healthy ad spending and market share gains by Meta in the second quarter, including a modest acceleration from April trends when adjusted for Easter. Meta continues to expand its advertising offerings with new capabilities, which could provide a tailwind for the second half of 2025.
Cantor Fitzgerald has raised its fiscal year 2026 earnings per share estimates by 3% and maintains Meta as a top pick, with the revised price target of $828 based on 28 times fiscal year 2026 estimated earnings per share. Currently trading at a P/E ratio of 27.06 with projected revenue growth of 14% for FY2025, Meta’s comprehensive analysis is available through InvestingPro’s detailed research reports.
In other recent news, Meta Platforms Inc. has seen significant developments that may interest investors. The company has been the focus of analysts, with BofA Securities raising its price target to $775, citing Meta’s ambitious plans for AI expansion, including the construction of multi-gigawatt data centers. Meanwhile, Citi maintains Meta as a "Top-Pick" with a price target of $803, highlighting improvements in AI advertising tools that are expected to boost upcoming earnings. Citizens JMP has reiterated a Market Outperform rating, acknowledging challenges with Meta’s AI model but expressing optimism about the company’s potential to enhance its AI capabilities.
Additionally, Meta is making strategic hires to bolster its AI efforts, including two researchers from OpenAI, as part of its push to build a "superintelligence" group. The company continues to attract talent from major competitors like OpenAI, Anthropic, and Google (NASDAQ:GOOGL). In the competitive landscape, ByteDance is developing mixed reality goggles to rival Meta’s planned product release in 2027. These developments underscore Meta’s ongoing investment in AI and innovation, suggesting a robust trajectory for the company’s future endeavors.
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