Is Meta Stock a Buy, Hold or Sell After Earnings?
Meta stock is gaining ground Thursday after the social media giant reported strong earnings, but what does Wall Street have to say? We take a look here.

Meta Platforms (META) stock rose out of the gate Thursday after the parent company of Facebook and Instagram beat top- and bottom-line expectations for its fourth quarter.
In the three months ending December 31, Meta's revenue increased 20.6% year over year to $48.4 billion, boosted by a 5% rise in its family daily active people (DAP) to 3.35 billion. Its earnings per share (EPS) were up 50.5% from the year-ago period to $8.02.
"We continue to make good progress on AI [artificial intelligence], glasses, and the future of social media," said Meta Platforms CEO Mark Zuckerberg in a statement. "I'm excited to see these efforts scale further in 2025."

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
The results beat analysts' expectations. Wall Street was anticipating revenue of $47 billion, earnings of $6.77 per share and daily active people of 3.32 billion, according to CNBC.
For its first quarter, Meta said it expects to achieve revenue between $39.5 billion to $41.8 billion. The midpoint of this range, $40.65 billion, came in below analysts' expectations for revenue of $41.7 billion, but Meta added that its outlook assumes a 3% headwind related to foreign currency translation.
"Meta is suffering from challenging macroeconomic conditions that are negatively impacting its advertising spending," says Brian Mulberry, client portfolio manager at Zacks Investment Management. The company is also facing "unfavorable forex, targeting and measurement headwinds due to Apple's (AAPL) iOS changes, normalization of e-commerce after the pandemic peak and higher inflation," he adds.
Nevertheless, Zuckerberg says that "this is going to be a really big year" for Meta and that "the trajectory for most of our long-term initiatives" will be "a lot clearer by the end of this year."
As for spending levels, which Wall Street is keeping a close eye on, Meta said it expects total expenses in 2025 to be in the range of $114 billion to $119 billion, with infrastructure believed to be the "single largest driver of expense growth."
Meta pays Trump
In separate news, media reports indicate Meta Platforms agreed to pay $25 million to settle a lawsuit brought against the company by President Donald Trump after his accounts were suspended in 2021 following the January 6 attack on the U.S. Capitol.
According to The Wall Street Journal, $22 million will go toward building Trump's presidential library with the remainder used to pay legal fees and plaintiffs.
Is META stock a buy, sell or hold?
Meta Platforms has been a powerhouse on the price charts over the past 12 months, up 69% on a total return basis (price change plus dividends) vs the S&P 500's 24% gain. Unsurprisingly, Wall Street is very bullish on the Magnificent 7 stock.
According to S&P Global Market Intelligence, the average analyst target price for the large-cap stock is $717.79, representing implied upside of more than 6% to its January 29 close. Additionally, the consensus recommendation is Strong Buy.
Financial services firm Wedbush maintained its Outperform rating (equivalent to a Buy) after Wednesday night's earnings release and raised its price target to $770 from $700.
"Meta reported strong fourth-quarter results with revenue roughly 3% ahead of the Street and operating income around 17% above consensus," says Wedbush analyst Scott Devitt. "First-quarter revenue guidance was in line with consensus on an forex-neutral basis, and we expect investors will look past near-term forex headwinds as the company continues to deliver improvements in user engagement and monetization."
Related Content
Get Kiplinger Today newsletter — free
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.
-
Vacation Rental in Retirement: Should You Airbnb or Vrbo Your Home for Extra Cash?
Cash is king in retirement. That’s where a short-term vacation rental can change the income equation.
By Brian O'Connell Published
-
Three Common Cash Flow Mistakes and How to Fix Them
Better cash flow management could have a bigger impact on your retirement savings than simply making more money. Here's how to manage that.
By Mike Decker, NSSA® Published
-
Three Common Cash Flow Mistakes and How to Fix Them
Better cash flow management could have a bigger impact on your retirement savings than simply making more money. Here's how to manage that.
By Mike Decker, NSSA® Published
-
Trusts for Child Influencers: What Families Need to Know
As video blogging, or vlogging, gains popularity (and profitability), new laws are shaping financial obligations for caregivers of young creators.
By Stephen B. Dunbar III, JD, CLU Published
-
Three Easy Financial Tips to Help Make This Year a Success
Early in a new year is the perfect time to assess where you are financially. Start by ensuring you're protected from fraud and evaluating your investments.
By Matthew Sommer, Ph.D. CFA® Published
-
Stock Market Today: It's Mostly Onward and Upward for Equities
The major U.S. equity indexes were mixed Friday but closed an eventful week for earnings and data modestly higher.
By David Dittman Published
-
Airbnb Stock Soars After Revenue, Earnings Top Expectations
Airbnb stock soared Friday after the homestay and experiences platform beat fourth-quarter revenue and earnings expectations. Here's what you need to know.
By Joey Solitro Published
-
Roku Expects to Be Profitable Next Year and Its Stock Is Soaring
Roku stock is surging Friday after the streaming platform topped Q4 expectations and said it expects to be profitable in 2026. Here's what you need to know.
By Joey Solitro Published
-
Why Coinbase Stock Is Lower After a Blowout Earnings Report
Coinbase stock is tumbling Friday as investors take profits following the crypto platform's impressive fourth-quarter results. Here's what you need to know.
By Joey Solitro Published
-
Are You a 'Midwestern Millionaire'? Four Retirement Strategies
Midwestern Millionaires might not live in the Midwest, but they share a saver's mindset. These strategies are for those who have saved $1 million or more.
By Joe F. Schmitz Jr., CFP®, ChFC® Published