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Meta Platforms
S&P 500 Nasdaq 100
$1.62T
Market Cap
27.5
P/E
1.35
PEG
31.3%
ROCE
30.2%
ROE
0.39
D/E
41.4%
OPM
-16.7%
% from 52W High
42
α RS
🔍 META is showing a high-conviction setup because it matches 28 of 39 tracked screener presets, Sector RRG has Communication Services in the Leading quadrant with the trail still strengthening, and it's within 16.7% of its 52-week high. Net: Broad signal stack, not a recommendation. ? Conviction RRG 52W High
Sources
Conviction 28/39 · Communication Services in Leading quadrant · 16.7% from 52W high
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🌏 Global Investor Returns
Currency-adjusted total returns for META including FX impact
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📈 Price History
Ratio Health
Excellent
Good
Average
Poor
By Category
📊 Sector Averages
About

Meta Platforms, Inc. engages in the development of products that enable people to connect and share with friends and family through mobile devices, personal computers, virtual reality (VR) headsets, and AI glasses in the United States, Canada, Europe, Asia-Pacific, and internationally. It operates through two segments, Family of Apps (FoA) and Reality Labs (RL). The FoA segment offers Facebook, which enables people to build community through feed, reels, stories, groups, marketplace, and other; Instagram that brings people closer through Instagram feed, stories, reels, live, and messaging; Messenger, a messaging application for people to connect with friends, family, communities, and businesses across platforms and devices through text, audio, and video calls; Meta AI, an assistant that's available across apps, as a stand-alone app, on AI glasses, and on the web; Threads, an application for text-based updates and public conversations; and WhatsApp, a messaging application that is used by people and businesses to communicate and transact. The RL segment provides virtual and augmented reality products, including consumer hardware, software, and content that help people feel connected, as well as Meta Quest devices that enable social experiences across gaming, fitness, entertainment, and more. The segment also includes wearables such as AI glasses like Ray Ban Meta and Oakley Meta glasses; and the Meta Ray Ban Display, which combines AI glasses with an integrated lens display and the Meta Neural Band, a wrist worn device using electromyography that lets people control their AI glasses through neuromuscular signals. Meta Platforms, Inc. has a collaboration with Microsoft Corporation, NVIDIA Corporation, Advanced Micro Devices, Inc., Broadcom Inc., and OpenAI, L.L.C. The company was formerly known as Facebook, Inc. and changed its name to Meta Platforms, Inc. in October 2021. The company was incorporated in 2004 and is headquartered in Menlo Park, California.

Key Ratios Snapshot
📈 Growth Pattern
📊 Quick Scorecard
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⭐ Superinvestors Holding META
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Manager Shares Value % of Fund Period
Daniel Loeb Third Point LLC 90.0K $51.5B 2.47% Mar 2026
Tiger Global Management Tiger Global Management LLC 3.09M $1.8B 7.73% Mar 2026
Bill Ackman Pershing Square Capital Management 2.66M $1.5B 11.10% Mar 2026
Andreas Halvorsen Viking Global Investors 1.06M $607.9M 1.70% Mar 2026
Jeff Ubben ValueAct Holdings 915.7K $523.9M 9.17% Mar 2026
Steve Cohen Point72 Asset Management 908.3K $519.6M 0.67% Mar 2026
David Tepper Appaloosa LP 436.5K $249.7M 4.21% Mar 2026
Jim Simons Renaissance Technologies LLC 253.4K $145.0M 0.23% Mar 2026
Cathie Wood ARK Investment Management 154.0K $88.1M 0.69% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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Mixed quarter Investor Presentation One-Pager? Q2 2026
Revenue
$60.8B
+28% YoY
Operating Income
$18.8B
-8% YoY
Operating Margin
31%
-12.0pp YoY
Net Income
$15.8B
-14% YoY
What Went Right
  • Family daily active people reached 3.6B, with Instagram at 2B DAUs and Threads crossing 500M MAUs.
  • Family of Apps ad revenue grew 27% to $59.4B, with ad impressions up 14% and price per ad up 12%.
  • 9 million SMBs now use AI ad creative tools, Advantage+ reached a $75B annual revenue run rate, and 1M businesses use Meta Business Agent weekly.
What to Watch
  • Total expenses jumped 55% to $42.0B, including $2.4B legal charges and $1.18B severance, driving operating margin down to 31%.
  • Net income fell 14% to $15.8B and EPS dropped 13% to $6.18, with the tax rate up to 16%.
  • Q2 capital expenditures were $31.1B, leaving free cash flow at just $784M; management also raised the full-year tax rate outlook to 15-17% and flagged youth-related litigation risk.
Management Guidance
  • Q3 2026 revenue expected in the range of $61-64 billion, with FX a ~1% headwind to YoY growth.
  • Full-year 2026 expenses now expected to be $165-169 billion; capex narrowed to $130-145 billion.
  • Tax rate for remaining 2026 quarters expected between 15-17%; operating income for 2026 is expected to exceed 2025 operating income.
Investor Lens
The revenue momentum and AI-driven ad gains reinforce the bull thesis, but profitability is under pressure from a 55% cost jump, legal charges, and a massive capex build. Net income fell despite 28% top-line growth, and free cash flow is thin. Management is clearly prioritizing AI capacity and product expansion over near-term margins. The thesis is stronger on growth optionality but weaker on near-term earnings and financing risk.
From investor presentation · AI-generated analysis · Not investment advice
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📊 MIXED Strong top line, weak bottom line — Q2 revenue +28%, net income -14%
Revenue
Q2 total revenue rose 28% YoY to $60.8B, or 27% in constant currency. Family of Apps ad revenue was $59.4B, up 27%, while Family of Apps other revenue reached $1B, up 73%, and Reality Labs revenue was $431M, up 16%.
Profitability
Operating income fell 8% to $18.8B, and net income declined 14% to $15.8B, with diluted EPS of $6.18, down 13%. Total expenses jumped 55% to $42.0B, including $2.4B in legal charges and $1.18B in severance related to the May 2026 headcount reduction.
Margins
Operating margin contracted to 31% from 43% a year ago, driven by higher employee compensation, infrastructure costs, legal costs, and third-party AI token costs. The effective tax rate rose to 16% from 11% in the prior-year quarter.
Balance Sheet
Meta ended Q2 with $90.3B in cash and marketable securities and $83.7B in debt. Q2 capex was $31.1B, operating cash flow was $31.86B, and free cash flow was just $784M. The company also announced a BlackRock partnership to develop a 1GW data center in Texas.
Key Risks
Management flagged ongoing legal and regulatory scrutiny, including youth-related trials in the U.S. that could result in material loss. Risks also include dynamic infrastructure supply-chain constraints, the elevated tax rate outlook, and heavy capex/infrastructure spending pressuring free cash flow.
Outlook
Q3 revenue is guided to $61-64B, with a ~1% FX headwind. Full-year expenses are expected at $165-169B, capex at $130-145B, and the tax rate at 15-17%; management still expects 2026 operating income to be above 2025.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-07-29
Q2 revenue grew 28% year-over-year to $60.8 billion, driven by strong ad performance and AI-powered product innovation. Expenses rose 55% due to legal and severance charges, while net income reached $15.8 billion. Strategic investments in AI, infrastructure, and new products position the company for continued growth.
Q1 2026 Q1 2026 2026-04-29
Q1 2026 saw 33% revenue growth to $56.3B, driven by strong ad performance and AI innovation. Major investments in infrastructure and AI models continue, with guidance for higher CapEx and ongoing regulatory risks. Engagement and monetization trends remain robust.
Q4 2025 Q4 2025 2026-01-28
Q4 revenue grew 24% year-over-year to $59.9B, driven by strong ad demand, AI-driven product improvements, and record user engagement. Major investments in AI and infrastructure are planned for 2026, with operating income expected to exceed 2025.
Q3 2025 Q3 2025 2025-10-29
Q3 revenue grew 26% year-over-year to $51.2B, driven by strong ad performance and AI innovation. Net income was $2.7B, impacted by a one-time tax charge, while CapEx and expenses are set to rise in 2026 to support AI infrastructure and talent.
Q2 2025 Q2 2025 2025-07-30
Q2 revenue grew 22% YoY to $47.5B, with strong ad performance and AI-driven engagement gains. Major investments in AI, infrastructure, and talent are expected to drive higher expenses and CapEx in 2025–2026, while regulatory risks in the EU could impact future revenue.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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Investment Risk:
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