Meta Platforms Reports Strong Q4 2025 Earnings
Meta Platforms (NASDAQ: META) reported a 24% revenue growth for the fourth quarter of 2025, which ended December 31, 2025. The company’s earnings per share surpassed analyst expectations, leading to an immediate increase in share price. Over the past three years, Meta’s stock has risen by 387% as of January 30, 2026.
Looking ahead, Meta plans to increase its capital expenditures to between $115 billion and $135 billion for 2026, marking a 74% increase from $72 billion in 2025. The company aims to enhance its AI capabilities, focusing on building data centers and developing a new large language model named Avocado. This push raises concerns about the sustainability of such high spending amidst market unpredictability.
Despite the significant investments, Meta’s stock currently boasts a forward price-to-earnings ratio of 24.8, positioning it as a potentially attractive investment relative to its recent performance.
