Meta Platforms (NASDAQ:META) builds technologies that help people connect, find communities, and grow businesses. When Facebook launched in 2004, it changed the way people connect. Apps like Messenger, Instagram, and WhatsApp further empowered billions around the world. Now, Meta is moving beyond 2D screens toward immersive experiences like augmented and virtual reality to help build the next evolution in social technology.
JMP Securities analyst Andrew Boone reiterates Meta Platforms (NASDAQ:META) with a Market Outperform and maintains $240 price target.
JMP Securities Reiterates Market Outperform on Meta Platforms(NASDAQ:META) Read Post »
Meta Platforms (NASDAQ:META): Expect to cut around 10,000 jobs and suspend hiring for about 5,000 positions. Plans to reduce the number of employees in the technical group are expected to be announced in late April. The size of the hiring team will be further reduced, and the layoffs of the commercial team are expected to be announced at the end of May, focusing on optimizing the proportion of engineers.
According to reports, Meta Platforms (NASDAQ:META) plans to implement a new round of layoffs, which may be similar to the 2022 round, and non-engineer positions will be the most affected. It is reported that multiple rounds of layoffs will be announced in the coming months.
Oppenheimer: Raised its price target on Meta Platforms (NASDAQ:META) to $235 from $220.
Oppenheimer: Raised Meta Platforms (NASDAQ:META) price target to $235 from $220 Read Post »
Facebook parent company Meta Platforms (NASDAQ:META) is preparing for a new round of layoffs, commissioning human resources, lawyers, financial experts and executives to develop plans to shrink the company’s hierarchy, a restructuring and layoffs that could affect thousands of employees. According to a person familiar with the matter, who spoke on condition of anonymity, Meta plans to push some leaders to lower-level positions without direct reporting, flattening the hierarchy of management between Meta CEO Zuckerberg and the company’s interns. As teams grow in size, other managers may end up managing more employees. Some within Meta expect that those employees who are switched jobs will eventually quit, resulting in a reduction in the company’s headcount. (Washington Post)
Meta Platforms announced last weekend the launch of Meta Verified, a paid certified subscription service on Instagram and Facebook, for $11.99 per month. Research released Tuesday by Bank of America Securities reported that the new subscription service could gain nearly 12 million subscribers by 2024. Analysts believe Meta’s subscription service is meant to cater to celebrities and creators, not consumers. Analysts noted that considering the pricing of the newly launched subscription service, Meta could generate high-margin revenue of $1.7 billion in 2024. In addition, given a wider audience and more revenue opportunities for creators, analysts believe Meta is likely to outperform its peers in terms of subscribers as a percentage of users.
Meta Platforms (NASDAQ:META) will launch Meta Verified, a paid certified subscription service on Instagram and Facebook.
Meta Platforms (NASDAQ:META) will launch Meta Verified Read Post »
Deutsche Bank released a report that although preliminary evidence shows that the Meta Platforms (NASDAQ:META) short video platform Reels business is performing well, competition is everywhere and cyclical concerns remain. The bank believes that Meta’s challenges remain largely temporary, and that investments in privacy-preserving measurement and location solutions, growth in signals on the platform, and increased Monetization of Reels should mitigate current headwinds over time. The company is shifting to prioritizing efficiency this year and beyond, lowering the midpoint of its FY23 operating expense and capital expenditure guidance by $5 billion and $4 billion, respectively, which is expected to deliver significant upside in earnings and free cash flow. In terms of revenue, Reels appears to have reached sufficient size to focus on monetization efficiency while adding $40 billion in repurchase authorizations, which is another positive news for capital allocation. The bank kept its revenue forecast relatively unchanged, but raised its
Goldman Sachs published a research report that as Meta Platforms (NASDAQ:META) further shakes off the industry and its own headwinds in the past year and a half, coupled with continued investment and execution in areas such as artificial intelligence and automation, and the company’s management reiterates that operating and capital expenditures will be more moderate this year, shares are expected to emerge from the decline and continue to recover. Goldman Sachs raised its first-quarter revenue forecast for Meta to $28.26 billion from $27.96 billion, EBITDA and earnings per share to $9.34 billion and $2.13, and raised its revenue forecast for this year to $123.39 billion from $122.8 billion and EBITDA and earnings per share to $43.48 billion and $10.2 respectively. Based on the outlook and earnings forecast adjustments, the bank also raised its Meta price target to $215 from $164, reiterating its “buy” rating.
Goldman Sachs: Raised Meta Platforms (NASDAQ:META) annual revenue forecast to $215 Read Post »
Bank of America Securities said in a research report that it is cautious about the advertising environment and Meta Platforms (NASDAQ:META) this year, as the platform’s shift to Reels and capital spending could undermine EPS growth when the advertising market improves. Advertising revenue growth in the US accelerated in the fourth quarter, leverage and earnings per share are rising as the advertising environment improves, the competitive environment also improves, and the Group may become part of the artificial intelligence (AI)/machine learning (ML) improvement cycle following excess capital expenditures and GPU investments in 2022/23. The bank assumed that the global online advertising market accelerated, and that Meta could grow faster with AI/ML-assisted Reels monetization, raising its EPS estimate for the year by 13% to $9.82 from $8.72.
Piper Sandler analyst Thomas Champion upgraded Meta Platforms (NASDAQ:META) to overweight from neutral and raised its price target to $215 from $136. The analyst said in the research note that Meta’s spending guidance for fiscal 2023 was significantly lowered, resulting in a “significant increase” in free cash flow forecasts. Analysts believe that despite the difficulties in the advertising market and the fact that the company’s investment in the metaverse space has not compromised, the dramatic change in this quarter’s results justifies the company to receive a more constructive rating.
Piper Sandler: Upgraded Meta Platforms (NASDAQ:META) from neutral to overweight Read Post »
Meta Platforms (NASDAQ:META) said expected investments in data center capacity, servers, network infrastructure and number of employees will drive the company’s expenses to continue to rise in 2023, which is expected to adversely affect operating margins and profitability.