Formerly known as Facebook, Meta Platforms Inc. (NASDAQ: META) is now a household name because of the foundational success it experienced in social media. But it has been over a decade since its IPO on May 18, 2012, As the only company in the ‘Magnificent Seven’ that has yet to undergo a stock split, an investor who purchased $1000.00 worth of META stock on the day it went public at $38.00 per share would now be sitting on an investment worth $14722.50, good for a gain of 1372.25%. But since its IPO date, a lot has changed. For starters, on Feb. 1, 2024, the company announced — alongside authorizing a $50 billion stock buyback — that shares of META would begin paying a dividend. And while its current yield of 0.36% may not seem like much, at its current price, that equates to $0.50 per share quarterly, or $2.00 per share annualized. META is the dominant player in the social media landscape but it is now branching out more broadly into tech, and specifically, the artificial intelligence (AI) space. It is the latter that the company is most heavily investing in now, and for that reason, it is also the primary driver of 24/7 Wall Street price predictions and forecasts for 2025-2030. Key Points in This Article: “Meta AI is on track to be the most used AI assistant in the world by the end of the year,” according to CEO Mark Zuckerberg. 24/7 Wall Street projects a 77.85% upside potential for the stock through the end of the decade. If you’re looking for a megatrend with massive potential, make sure to grab a complimentary copy of our “The Next NVIDIA” report. The report includes a complete industry map of AI investments that includes many small caps. Recent Meta Stock Updates and News 11/25/2024 Meta Platforms is scheduled to face trial on April 14th in a long-standing antitrust lawsuit filed by the Federal Trade Commission (FTC) to dismantle the company. U.S. District Judge James Boasberg ruled today that the trial will proceed in Washington next year. 11/22/2024 The U.S. Supreme Court has rejected Meta’s appeal to dismiss a major class-action lawsuit brought by investors. The lawsuit, which seeks billions of dollars in damage, will be allowed to proceed. 11/21/2024 Meta has taken action against over 2 million accounts involved in “pig butchering” scams, which deceive users into investing in non-existent ventures. 11/20/2024 Meta has hired Salesforce’s former AI chief, Clara Shih, to lead its new Business AI group. Shih will focus on making cutting-edge Ai technology accessible to businesses of all sizes at Meta. Analysts at Jeffries are optimistic about this development, viewing it as a major step forward in Meta’s AI monetization strategy. 11/19/2024 Meta is launching a new AI product group to revolutionize customer interactions on its platforms. The new division will focus on creating innovative AI tools like chatbots for Messenger and WhatsApp, to enhance customer experiences and drive business transactions. 11/18/2024 The Competition Commission of India (CCI) has fined Meta a hefty Rs 213.14 crore (US $25.4 million for abusing its dominant position in the market. This fine stems from Meta’s 2021 privacy policy update for WhatsApp, which raised concerns about how user data is collected and shared with other Meta companies. 11/15/2024 Meta’s stock price decreased 2.3% today, trading as low as $562. 11/12/2024 Despite an overall negative trading day, Meta saw a slight uptick of 0.28% today, ending a two-day losing streak. 11/11/2024 Meta has announced a partnership with 13 universities in the U.S. and U.K. to bring virtual reality (VR) into classrooms. This new initiative, called “Meta for Education beta”, aims to test new VR and XR products, make learning more immersive and engaging, and make the company’s VR more mainstream. 11/8/2024 A federal judge has ruled that Mark Zuckerberg, CEO of Meta, is not personally responsible for lawsuits accusing the company of harming children through addictive social media platforms. The judge dismissed claims that Zuckerberg knowingly concealed the mental health risks associated with using Facebook and Instagram. While the judge’s decision exonerates Zuckerberg from personal liability, it doesn’t affect the lawsuits made against Meta itself. Meta Platforms’ 10-Year Market Smashing Results Here’s a table summarizing the performance in share price, revenues, and profits (net income) of META stock from 2014 to 2024: Share Price Revenues Net Income 2014 $80.78 $12.466 $2.940 2015 $104.66 $17.928 $3.688 2016 $115.05 $27.638 $10.217 2017 $176.46 $40.653 $15.934 2018 $133.20 $55.838 $22.112 2019 $208.10 $70.697 $18.485 2020 $273.16 $85.965 $29.146 2021 $336.35 $117.929 $39.370 2022 $120.34 $116.609 $23.200 2023 $353.96 $134.902 $39.098 TTM $517.77 $161.579 $55.042 Revenue and net income in %billions Over the past decade, Meta Platforms’ revenue has grown 1,196.16% from $12.466 billion to over $161 billion over its trailing 12 months (TTM), while its net income went from $2.940 billion to over $55 billion TTM during the same period, good for an increase of 1,772.18%. The primary driver of that growth over the past 10 years has been ad space for the company’s social media platforms, which include Facebook, Instagram, Threads, Reel, and WhatsApp, among others. While Meta Platforms has branched out into augmented reality and virtual reality — a business segment it refers to as Reality Labs — 99% of its revenue generation comes from its Family of Apps business segment, as of year-end 2023. But as the company looks to the second half of the decade, Zuckerberg and the company will focus on a few key focus areas that will have a large impact on Meta Platforms’ stock performance. Key Drivers of Meta Platforms’ Stock Performance AI Investment: Founder and CEO, Mark Zuckerberg announced that Meta Platforms “released the first frontier-level open source AI model, we continue to see good traction with our Ray-Ban Meta AI glasses, and we’re driving good growth across our apps.” While the market for Meta’s social media advertising remains healthy and continues to drive the majority of the company’s revenue, it is focusing heavily on AI investments to expand through the end of the decade. Price-per-ad revenue saw a 10% year-over-year gain, and that success will fund its AI spending aimed at future growth. The company said shareholders should expect between $37 billion and $40 billion in capital expenditures this year that will fund a data center capable of powering its AI initiatives. That is likely to continue into next year, with CFO Susan Li stating that the META expects “significant capital expenditure growth in 2025 as we invest to support our artificial intelligence research and product development efforts.” Continued Renewable Energy Development: According to the company’s net zero plan, which it is aiming to achieve by 2030, “Since 2020, Meta’s global operations have been supported by 100% renewable energy. As of 2023, we have 10,000MW of contracted renewable energy across 6 countries.” As part of its net zero plan, Meta Platforms’ reliance on renewable energy will ultimately decrease the cost of its utility expenses, and ultimately, its carbon footprint through contracted and self-employed green technologies. Renewables already cost less than fossil fuel energy sources, and according to Canary Media, “By 2030, technology improvements could slash today’s prices by a quarter for wind and by half for solar.” The company has announced that its goal for its forthcoming data center is that it is 100% sustainable and net zero. Focusing on Growing Free Cash Flow: Zuckerberg coined the 2023 Meta Platforms “year of efficiency,” and their results were staggering. By year-end, the company recorded a record free cash flow of $43 billion. That is up from $21 billion in 2019, marking a nearly 105% increase in its cash position in four years. Meta’s free cash flow TTM stands at $49.74, showing that its focus on its bottom line is driving decisions from the top down and has increasingly strong results. Meta Platforms (META) Stock Price Prediction in 2025 The current consensus one-year price target for Meta Platforms is $597.50, which represents a 5.33% upside potential from today’s share price of $567.63. Of all the analysts covering META stock, it receives a consensus “Buy” rating with a score of 1.5, with 1 being the strongest “Buy” rating and 5 being the strongest “Sell” rating. 24/7 Wall Street’s forecast projects Meta Platforms’ stock price to be $603 by the end of 2025, based on the company’s ability to sustain its strong ad revenue while increasing efficiency, which in turn will drive its bottom line despite capital expenditures increasing toward its AI objectives. Meta Platforms Price Estimates 2025-2030 Year Revenue Net Income EPS 2024 $161.579 $54.960 $21.18 2025 $183.459 $62.250 $24.12 2026 $205.257 $70.680 $27.71 2027 $226.332 $78.258 $30.42 2028 $245.319 $85.912 $32.38 2029 $268.306 $97.044 $36.54 2030 $274.947 $91.227 $39.70 Revenue and net income in $billions How META’s Next 5 Years Could Play Out We estimate the price per share of Meta Platforms to be $692 with revenue jumping over $200 billion for the first time in 2026. EPS expectations are for $27.71 annualized. That stock forecast represents a gain of 23.76% over today’s share price. In 2027 we expect META’s stock price to reach $760 with net income increasing to $78 billion on the back of free cash flow exceeding $60 billion for the first time. That stock price represents a 35.92% increase over today’s share price. 24/7 Wall Street forecasts that META’s share price will reach $809 by the end of 2028, as free cash flow surpasses $70 billion. That price per share represents a 44.69% increase from where the stock is trading today. Then in 2029, we estimate that Meta Platforms will reach $79.262 billion in free cash flow, $97.044 billion in net income and over $268 in revenue resulting in a price per share of $914, or 63.47% upside potential from today’s share price. META’s Price Target for 2030 By the end of the start of the next decade, we forecast that META’s stock price will reach $995.00, or 77.95% higher than it is trading for today, despite estimates that net income will pull back slightly from over $97 billion to over $91 billion. Revenue growth will continue, with an estimated 2.48% year-over-year increase from 2029. Year Price Target % Change From Current Price 2024 $530 -5.21 2025 $603 7.84% 2026 $692 23.76% 2027 $760 35.92% 2028 $809 44.69% 2029 $914 63.47% 2030 $995 77.95% Revenue and net income in $billions “The Next NVIDIA” Could Change Your Life If you missed out on NVIDIA’s historic run, your chance to see life-changing profits from AI isn’t over. The 24/7 Wall Street Analyst who first called NVIDIA’s AI-fueled rise in 2009 just published a brand-new research report named “The Next NVIDIA.” Click here to download your FREE copy. NVIDIA has returned 250-fold in the past 10 years as artificial intelligence took off. But if you missed out on NVIDIA’s historic run, your chance to see life-changing profits from AI isn’t over. “The Next NVIDIA” stocks have been revealed in a new report, and they’re ready to dominate the next wave of growth. The report is absolutely free. Simply enter your email below to receive a copy today. Get Report Now — Its Free >> Check Your Email! “The Next NVIDIA” Report is Being Sent to Your Inbox Right Now By providing your email address, you agree to receive communications from us regarding website updates and other offerings that may be of interest to you. You have the option to opt-out of these emails at any moment. For more information, please review our Disclaimer and Terms of Use. The post Meta Platforms (META) Price Prediction and Forecast 2025-2030 appeared first on 24/7 Wall St..
Meta Platforms (META -0.70%) is without doubt a leader in the technology and internet industries. It has been a monster success story and a business that has done a great job rewarding its longtime shareholders, something that holds true in more recent times.
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