Erste Group Bank Comments on Meta Platforms FY2027 Earnings

Key Points

• Erste Group Bank raised Meta’s FY2027 EPS estimate to $33.84 from $33.75 and maintained a “Buy” rating, well above the $27.94 consensus estimate.
• Analyst sentiment remains broadly positive, with Meta carrying a consensus “Moderate Buy” rating and an average price target of $796.51; shares opened at $762.50 after recently trading near their 52-week high.
• Meta’s latest quarter showed mixed results: EPS of $6.18 missed estimates of $7.19, but revenue reached $60.80 billion, up 28% year over year and above expectations. Investors continue to weigh AI-driven growth opportunities against rising infrastructure costs and valuation risks.

Meta Platforms, Inc. (NASDAQ:META - Free Report) - Erste Group Bank raised their FY2027 earnings per share (EPS) estimates for Meta Platforms in a research report issued to clients and investors on Thursday, October 8th. Erste Group Bank analyst H. Engel now expects that the social networking company will post earnings per share of $33.84 for the year, up from their previous estimate of $33.75. Erste Group Bank currently has a "Buy" rating on the stock. The consensus estimate for Meta Platforms' current full-year earnings is $27.94 per share.

A number of other analysts have also recently issued reports on META. Roth Capital reduced their target price on shares of Meta Platforms from $820.00 to $750.00 and set a "buy" rating for the company in a research note on Monday, August 3rd. Citigroup restated an "outperform" rating on shares of Meta Platforms in a report on Thursday, September 24th. Pivotal Research raised their target price on shares of Meta Platforms from $790.00 to $930.00 and gave the company a "buy" rating in a research note on Tuesday. Rosenblatt Securities reiterated a "buy" rating and set a $886.00 price target on shares of Meta Platforms in a report on Tuesday. Finally, Susquehanna lowered their price target on Meta Platforms from $900.00 to $650.00 and set a "positive" rating on the stock in a research note on Thursday, July 30th. Three analysts have rated the stock with a Strong Buy rating, forty-five have assigned a Buy rating and nine have issued a Hold rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $796.51.

Meta Platforms Trading Up 2.6%

NASDAQ:META opened at $762.50 on Wednesday. The company has a market capitalization of $1.94 trillion, a P/E ratio of 28.72, a P/E/G ratio of 1.29 and a beta of 1.19. The stock's 50 day moving average price is $647.53 and its 200 day moving average price is $622.44. The company has a debt-to-equity ratio of 0.32, a quick ratio of 2.23 and a current ratio of 2.23. Meta Platforms has a 52 week low of $520.26 and a 52 week high of $779.82.

Meta Platforms (NASDAQ:META - Get Free Report) last issued its earnings results on Wednesday, July 29th. The social networking company reported $6.18 EPS for the quarter, missing analysts' consensus estimates of $7.19 by ($1.01). Meta Platforms had a net margin of 29.83% and a return on equity of 33.18%. The firm had revenue of $60.80 billion during the quarter, compared to analysts' expectations of $60.22 billion. During the same quarter last year, the firm earned $7.14 EPS. The business's revenue for the quarter was up 28.0% compared to the same quarter last year.

Meta Platforms Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Monday, September 28th. Investors of record on Monday, September 21st were issued a $0.5250 dividend. This represents a $2.10 dividend on an annualized basis and a yield of 0.3%. The ex-dividend date was Monday, September 21st. Meta Platforms's dividend payout ratio is currently 7.91%.

Insider Activity at Meta Platforms

In related news, insider Christopher Cox sold 40,000 shares of the firm's stock in a transaction on Monday, September 21st. The stock was sold at an average price of $712.76, for a total transaction of $28,510,400.00. Following the sale, the insider owned 184,516 shares of the company's stock, valued at approximately $131,515,624.16. This trade represents a 17.82% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Mark Zuckerberg sold 27,474 shares of Meta Platforms stock in a transaction that occurred on Thursday, September 24th. The shares were sold at an average price of $777.44, for a total transaction of $21,359,386.56. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 148,222 shares of company stock worth $101,033,627 in the last ninety days. Company insiders own 13.53% of the company's stock.

Institutional Trading of Meta Platforms

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Advantage Trust Co bought a new position in Meta Platforms in the 2nd quarter valued at approximately $28,000. Philadelphia Investment Partners LLC acquired a new position in shares of Meta Platforms in the second quarter valued at approximately $32,000. Horizons Wealth Management acquired a new position in shares of Meta Platforms in the third quarter valued at approximately $33,000. Axiom Investment Management LLC bought a new position in Meta Platforms in the 1st quarter valued at approximately $36,000. Finally, Schuylkill Financial LLC bought a new position in Meta Platforms in the 2nd quarter valued at approximately $36,000. 79.91% of the stock is owned by institutional investors.

Key Meta Platforms News

Here are the key news stories impacting Meta Platforms this week:

• Positive Sentiment: Meta launched its Muse Wonder and Muse Wonder Full AI models, which it says are competitive with offerings from OpenAI and Anthropic. The models are designed for personal and professional agents capable of handling complex, multi-step tasks, strengthening the company’s position in the AI race. Meta releases Muse Wonder AI models to challenge Anthropic and OpenAI
• Positive Sentiment: Early third-party data reportedly showed strong retention for Meta’s standalone Muse assistant, comparable with ChatGPT. Investors viewed that engagement as evidence that Meta may be able to turn its substantial AI investment into a meaningful consumer product and potential subscription revenue. Why Meta stock is up today
• Positive Sentiment: Wall Street remained constructive: KeyCorp reaffirmed an overweight rating with a $900 price target, Rosenblatt maintained a buy rating with an $886 target, and Truist reportedly set a $1,000 Street-high target based on AI-driven advertising improvements and Muse adoption. Erste Group Bank also modestly raised its FY2027 EPS estimate to $33.84 and kept a buy rating.
• Positive Sentiment: Meta introduced additional tools to fine-tune Facebook’s recommendation algorithms, potentially improving engagement and ad targeting. The company also restricted TikTok and ByteDance advertising across seven countries, which could redirect some advertising demand to Meta’s platforms. Meta Platforms introduces AI tools to fine-tune Facebook algorithms
• Neutral Sentiment: Meta will report third-quarter results after the market closes on October 21. Investors will be watching revenue growth, advertising performance, AI monetization and planned spending of approximately $130 billion to $145 billion. Meta to announce third-quarter 2026 results
• Negative Sentiment: Risks include Meta’s premium valuation after its recent rally, rising AI infrastructure costs and uncertainty over whether Muse subscriptions can produce attractive returns. Some commentary also noted slowing AI-assistant downloads and questioned whether the company’s large AI investment will generate sufficient profits.

Meta Platforms Company Profile

Meta Platforms, Inc is a technology company that develops social networking, messaging, virtual and augmented reality, and artificial intelligence products. The company operates a global family of apps that includes Facebook, Instagram, Messenger, WhatsApp and Threads, enabling users to connect, communicate, share content and discover communities.

Meta generates most of its business through digital advertising displayed across its platforms. Its products serve individuals, creators, businesses and organizations in markets around the world, while its advertising tools help businesses reach audiences based on factors such as interests, activity and demographics.

Through its Reality Labs division, Meta develops virtual and augmented reality hardware, software and services, including the Meta Quest line of headsets and related experiences.

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