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
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.
-
The Y Rule of Retirement: Why Men Need to Plan Differently
If you have a Y chromosome (because you're a guy), following the 'Y rule of retirement' can help you transition to this new life stage with grace.
-
Retire on This Island for Mediterranean Living on the Cheap
This independent nation has a lower cost of living and more visa options than many of its Mediterranean cousins.
-
5 Popular Investing Strategies You Should Really Rethink
There are plenty of popular sayings that help guide your investing strategies, but which ones work? We turned to the experts and historical data to find out.
-
I'm a Financial Professional: It's Time to Stop Planning Your Retirement Like It's 1995
Today's retirement isn't the same as in your parents' day. You need to be prepared for a much longer time frame and make a plan with purpose in mind.
-
An Attorney's Guide to Your Evolving Estate Plan: Set-It-and-Forget-It Won't Work
When did you last review your will? Before kids? Before a big move? An update is essential, but regular reviews are even better. Here's why.
-
Nasdaq Ends the Week at a New High: Stock Market Today
The S&P 500 came within a hair of a new high, while the Dow Jones Industrial Average still has yet to hit a fresh peak in 2025.
-
For a Richer Retirement, Follow These Five Golden Rules
These Golden Rules of Retirement Planning, developed by a financial pro with many years of experience, can help you build a plan that delivers increased income and liquid savings while also reducing risk.
-
Time for a Money Checkup: An Expert Guide to Realigning Your Financial GPS
Even if your financial plan is on autopilot, now is the perfect time to make sure it's still aligned with your goals, especially if retirement is on the horizon.
-
Stocks Swing Lower as Eli Lilly, Fortinet Spiral: Stock Market Today
The main indexes finished well off their session highs after a disappointing batch of corporate earnings reports.
-
Are You Leaving Money on the Table? Four Strategies to Free Up Stuck Investments
From forgotten 401(k)s to outdated asset allocations, here’s how stuck money can hurt your retirement.