Meta Platforms Faces Stock Decline Amid Tariff Fears and Analyst Downgrade

Shares of Meta Platforms (NASDAQ: META) are experiencing a pullback today. This decline stems from a widespread sell-off linked to the upcoming “Liberation Day” tariffs and a recent price target reduction by an analyst, impacting the broader economic climate. As of 10:11 a.m. ET, the stock was down 2%, following an earlier drop of 4.1%.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »

Image source: Getty Images.

Meta Platforms Declines Due to Tariff Concerns

As a leading global player in digital advertising, Meta Platforms is sensitive to the global economic landscape. Advertising budgets often tighten first when businesses anticipate a recession. This was evident in 2022 when Meta saw a temporary revenue drop.

In addition, Jefferies adjusted its price target for Meta from $810 to $725, though it retains a buy rating on the stock. The firm noted ongoing multiple compression throughout the industry and signs that the economic environment is losing momentum.

Notably, Jefferies stated it would not change its estimates for the stock at this time.

Future Outlook for Meta Platforms

Meta is coming off a strong 2024, with its stock price climbing due to solid business growth and improved profitability. CEO Mark Zuckerberg noted that the Meta AI chatbot is on track to become the most-used chatbot globally by the end of 2024, indicating that the company’s AI initiatives are showing promise.

While an economic downturn could pose challenges for Meta, the company has demonstrated resilience in past market shifts. Currently, Meta’s price-to-earnings (P/E) ratio has decreased to 23.5, presenting an attractive investment opportunity, especially considering its recent performance.

Don’t Miss This Opportunity for Potentially High Returns

If you feel you missed the opportunity to invest in leading stocks, now may be the time to reconsider.

Occasionally, our expert team issues a “Double Down” stock recommendation for companies poised for significant growth. If you’re concerned about missing your chance, investing now might be prudent before it becomes more difficult. The historical returns speak volumes:

• Nvidia: Invest $1,000 when we doubled down in 2009 and you’d have $284,402!*
• Apple: Invest $1,000 when we doubled down in 2008 and you’d have $41,312!*
• Netflix: Invest $1,000 when we doubled down in 2004 and you’d have $503,617!*

Right now, we’re issuing “Double Down” alerts for three exceptional companies, and there may not be another chance like this soon.

Continue »

*Stock Advisor returns as of March 24, 2025

Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool’s board of directors. Jeremy Bowman has positions in Meta Platforms. The Motley Fool has positions in and recommends Jefferies Financial Group and Meta Platforms. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.