Meta stock price target raised to $1,117 from $1,086 at Rosenblatt

Investing.com - Rosenblatt raised its price target on Meta Platforms Inc. (NASDAQ:META) to $1,117.00 from $1,086.00 on Thursday, while maintaining a Buy rating on the stock following the company’s strong third-quarter results.

Meta reported revenue of $51.2 billion for the third quarter of 2025, representing 26% year-over-year growth (25% in constant currency), which exceeded analyst expectations by 5%. The company delivered adjusted EBITDA of $31.0 billion, up 21% year-over-year, with a 60.6% margin that beat estimates by 4%.

Earnings per share excluding a one-time tax item reached $7.25, a 20% increase year-over-year and 9% above consensus estimates. Meta’s guidance for the fourth quarter of 2025 indicates potential revenue growth of 24% year-over-year at the high end, approximately 3% above current market estimates.

Rosenblatt noted some investor concerns regarding Meta’s increased spending plans, with the company now expecting capital expenditures of $70-$72 billion this year, up from its previous range of $66-$72 billion. Meta also indicated that 2026 capital expenditures would grow at a "notably" larger rate in dollar terms compared to 2025, with operating expenses set to increase at a "significantly faster rate."

Despite the higher spending outlook, Rosenblatt raised its EBITDA and adjusted EPS estimates for both the fourth quarter of 2025 and full-year 2026, citing strong return on investment from Meta’s AI initiatives as justification for the increased expenditures and the 3% price target increase.

In other recent news, Meta Platforms Inc. has delivered notable financial results and updates. The company reported a strong performance in the third quarter of 2025, with revenue and adjusted EBITDA surpassing consensus expectations by approximately 3.5% and 4.5%, respectively. Meta’s advertisement revenue growth also impressed, showing an increase of about 24.5% FXN compared to 22% in the previous quarter. Despite these positive results, several firms have adjusted their price targets for Meta. Raymond James lowered its target to $825, citing Meta’s robust ad return on GPU spend while maintaining a Strong Buy rating. Barclays reduced its price target to $770, noting Meta’s revenue exceeded estimates but highlighting increased AI investment costs. Seaport Global adjusted its target to $850, acknowledging the strong ad revenue growth and better-than-expected operating income. Meanwhile, BofA Securities lowered its target to $810, pointing to a limited earnings per share growth outlook and anticipated free cash flow pressure in 2026. BMO Capital maintained its $710 price target and Market Perform rating, reflecting confidence in Meta’s recent quarterly performance.

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