“The market for social networks, or even what Meta is, is very different now than it was even a couple of years ago.”
META's expanding AI prowess is driving user engagement. However, unfavorable forex and stretched valuation make the stock a risky bet.
In Meta's antitrust trial on Wednesday, Meta CEO Mark Zuckerberg testified that TikTok's success was a risk to Meta's business, saying the short-form video app was a “top priority” and a “highly urgent” competitive threat when it arrived in 2018, according to Bloomberg and other outlets.
Meta chief executive Mark Zuckerberg on Wednesday denied in court that his company bought rival services Instagram and WhatsApp to neutralize them, as his testimony in a landmark antitrust case came to a close.
Meta Platforms is minimally impacted by US tariffs, with its core business in ad placements representing 98.8% of FY 2024 revenue. Two key risks are pressuring the stock: the ongoing FTC antitrust trial and the possibility of new EU levies on digital advertising revenue. I believe the chance of these risks being materialized is minimal. Certainly lower than what the market expects, as noted in the recent price action.
Meta will start using public posts and comments by its European users to train generative artificial intelligence (AI) models from May 27, unless users opt out of the data-mining project.
Meta Platforms stock has seen a big correction in the last few weeks as recession fears increase and Wall Street is concerned over Meta's massive capex. Meta could announce a downward adjustment from the earlier capex announcement of "$60 billion to $65 billion." Meta's new AI tools are improving the price per ad due to better conversion for advertisers.
Shares of Meta Platforms Inc. (NASDAQ: META) were flat in a.m.
The Meta chief executive testified for a third day in a landmark antitrust trial accusing his company of quashing competition through acquisitions.
For investors in Magnificent Seven stock Meta Platforms NASDAQ: META, recent changes in analysts' price targets haven't brought much cheer. Many analysts have been dropping their price targets on this powerful company since the beginning of April.
President Donald Trump's import tariffs have been the big subject for investors in recent weeks, with any new announcement guiding the market's direction. And technology stocks such as the "Magnificent Seven" have been particularly vulnerable to the news since they rely a great deal on international production of raw materials and finished goods.
Testimony that Instagram was ‘better' seems to bolster allegations Meta used ‘buy or bury' tactic to snap up rivals