Meta Platforms Set for Q1 Earnings Report with Strong Projections

Meta Platforms, Inc. (META), based in Menlo Park, California, boasts a market cap of $1.3 trillion. The company has significantly influenced how individuals connect through its social media platforms, virtual reality environments, and digital advertising services. As a frontrunner in digital innovation, Meta continually broadens its impact in the technology sector.

The company is expected to unveil its Q1 earnings after market close on Wednesday, April 30. Analysts forecast a profit of $5.31 per share, reflecting a 12.7% increase from the $4.71 per share reported in the same quarter last year. Notably, Meta has consistently exceeded Wall Street’s earnings per share (EPS) expectations over the past four quarters.

In the last reported quarter, Meta’s EPS reached $8.02, surpassing consensus estimates by 20.1%. This strong performance is attributed to robust advertising revenue, enhanced cost efficiencies, and sustained growth across its primary platforms.

Looking ahead, analysts predict that Meta’s EPS will climb by 7.4% to $25.62 in the current year, up from $23.86 in 2024. Projections for fiscal 2026 show an annual EPS growth of 12.6%, leading to an estimated $28.84.

Over the past year, Meta shares have fallen by 1.7%, which is better than the S&P 500 Index’s ($SPX) 4.2% increase but lagging behind the Communication Services Select Sector SPDR ETF Fund’s (XLC) 4.4% gains during the same timeframe.

Yesterday, Meta’s stock dropped by more than 1%, reflecting a similar retreat within the broader Magnificent Seven group. Concerns regarding potential U.S. tariffs on Chinese imports could have contributed to this decline since Meta depends heavily on international advertisers, particularly from China, for a considerable portion of its U.S. ad revenue.

Despite these challenges, analysts maintain a strongly bullish outlook on META Stock, assigning it a “Strong Buy” rating. Among the 54 analysts covering the stock, 46 recommend a “Strong Buy,” two suggest a “Moderate Buy,” four indicate a “Hold,” and two analysts rate it a “Strong Sell.”

Currently, META’s average analyst price target stands at $744.68, which suggests an attractive upside of 45.9% based on current share prices.

On the date of publication, Kritika Sarmah did not hold (either directly or indirectly) any positions in the securities mentioned in this article. All information and data provided is for informational purposes only. For further details, please refer to the Barchart Disclosure Policy here.

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