Reviewed by Gotrade Internal Analyst
Jakarta, Gotrade News - Wall Street sentiment on Meta Platforms, Inc. remains positive despite a slight target tweak. Analysts see a potential 22% upside from current price levels.
Key Takeaways
- Baird keeps ‘Outperform’ rating with a new price target of $815.
- Market volatility has reset expectations, making them more realistic.
- Major catalysts include Llama AI progress and WhatsApp monetization.
Baird slightly trimmed its target to $815 from $820 in an investor note dated Dec 23. Still, this figure implies strong optimism compared to the current market price of $663.
According to Baird analyst Colin Sebastian, recent market volatility actually helped reset investor expectations. This creates a more balanced backdrop for those looking to position strategically.
Near-term sentiment pressure is still there, but market hopes are now more grounded than they were last month. The risk-reward profile is looking better as several performance drivers approach.
Key factors to watch include Q1 margin guidance and progress on the next-gen Llama AI model. Updates on Meta AI ranking and relevance algorithms will also be crucial deciders.
Monetization efforts on WhatsApp and Threads are starting to become meaningful revenue drivers. Ad automation via Advantage+ features continues to show sustained expansion for the company.
The $815 target is backed by a discounted cash flow framework and a valuation of 30x projected 2026 earnings. Meta’s position as a market leader makes this valuation premium justifiable.
Privacy regulation risks and the shift in short-form video strategy remain key things to watch out for. However, Meta’s massive scale and margin profile are seen as capable of mitigating these challenges.
Most Wall Street analysts are still sticking with a ‘Strong Buy’ rating for this tech giant. This optimism is based on consensus data from 44 analysts tracked by TipRanks.
Reference:
- Finbold, Wall Street analyst updates Meta stock price. Accessed on December 24, 2025
- Featured Image: Shutterstock
Disclaimer
Gotrade is the trading name of Gotrade Securities Inc., registered with and supervised by the Labuan Financial Services Authority (LFSA). This content is for educational purposes only and does not constitute financial advice. Always do your own research (DYOR) before investing.
