Current track



Facebook-parent Meta Platforms Inc. has been moderately unscathed in the current week’s innovation selloff that is zapped $700 billion in market esteem from the Nasdaq 100 Stock Index. The stock is down somewhat more than 1% since the beginning of the year while other megacaps, similar to Google parent Alphabet Inc. and Microsoft Corp., endured their most noticeably terrible weeks since the beginning of Covid-19 pandemic in the midst of surging Treasury yields. Meta shares were up however much 1.4% on Friday prior to shutting down 0.2%.

Facebook is projected to see the fastest revenue growth among Faamg stocks in 2022 with an expansion of 19%, according to data compiled by Bloomberg. Those estimates are likely underestimating the company’s revenue growth potential if a revamped Instagram newsfeed that’s being tested is widely deployed and gains traction, according to UBS.

The resilience is a turnabout of sorts for Meta, whose shares have been under pressure for months amid renewed scrutiny of its social-media properties. A slump of 13% from its September peak has left the stock the cheapest of the so-called Faamg cohort that also includes Inc. and Apple Inc., based on profits expected over the next 12 months. At 22 times future earnings, Meta is priced at a discount of about 20% to the average in the Nasdaq 100, according to data compiled by Bloomberg.

“Drawing from a wider content base could unlock a meaningful lift in engagement, reminiscent to TikTok,” analyst Lloyd Walmsley wrote in a research note on Thursday, raising his price target on the stock to $440 from $425.

The average price target on Wall Street for Meta shares is $400, which implies a potential gain of about 20%, according to data compiled by Bloomberg.

News Summary:

  • Meta-Facebook parent company dodges the rate tantrum that is rocking tech stocks
  • Check all news and articles from the latest Business news updates.
Disclaimer: If you need to update/edit this article then please visit our help center. For Latest Updates Follow us on Google News

— to

The post Meta-Facebook parent company dodges the rate tantrum that is rocking tech stocks appeared first on Correct Success.

Reader's opinions

Leave a Reply