Allstate Corp Grows Stock Position in Meta Platforms, Inc. $META

Key Points

• Allstate Corp more than doubled its Meta Platforms stake in the fourth quarter, increasing holdings by 109.4% to 165,384 shares worth about $109.2 million. Meta now represents roughly 1.5% of Allstate’s portfolio and is its 17th-largest holding.
• Meta’s recent news flow was mostly positive, led by the launch of an enterprise-focused AI “business agent” aimed at automating customer service and business operations across WhatsApp, Messenger, and Instagram. Analysts and media coverage see it as a potential new revenue stream beyond advertising.
• Despite some regulatory and security concerns, analyst sentiment remains favorable: Areté Research upgraded META to strong-buy with a $735 target, and the stock has a consensus rating of Moderate Buy with an average price target of about $840.60.

Allstate Corp boosted its holdings in Meta Platforms, Inc. (NASDAQ:META - Free Report) by 109.4% during the fourth quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 165,384 shares of the social networking company's stock after buying an additional 86,405 shares during the period. Meta Platforms accounts for approximately 1.5% of Allstate Corp's holdings, making the stock its 17th largest holding. Allstate Corp's holdings in Meta Platforms were worth $109,168,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in the business. Westchester Capital Management Inc. purchased a new position in Meta Platforms in the third quarter valued at approximately $26,000. RHL Group LLC purchased a new stake in Meta Platforms during the fourth quarter worth approximately $28,000. Strategic Wealth Advisors LLC acquired a new stake in shares of Meta Platforms in the fourth quarter worth $29,000. Key Capital Management INC purchased a new position in shares of Meta Platforms in the 4th quarter valued at $48,000. Finally, Entrust Financial LLC purchased a new position in shares of Meta Platforms in the 4th quarter valued at $48,000. Hedge funds and other institutional investors own 79.91% of the company's stock.

Meta Platforms News Summary

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

• Positive Sentiment: Meta launched an enterprise-focused AI “business agent” designed to help companies handle customer inquiries, recommend products, book appointments, and automate daily operations across WhatsApp, Messenger, and Instagram. Investors see this as a new subscription-like revenue opportunity beyond ads. Reuters article
• Positive Sentiment: Coverage from multiple outlets suggested Meta’s AI agent strategy could expand into the business market and help diversify revenue, reinforcing the bull case that the company can monetize AI more effectively. CNBC article
• Positive Sentiment: Areté Research upgraded Meta Platforms (META) from hold to strong-buy and set a $735 target, adding to the favorable analyst tone around the stock. Finviz reference
• Positive Sentiment: Meta also won a partial legal victory in Europe after a court backed its challenge to the EU’s “gatekeeper” designation for Marketplace, which could reduce regulatory pressure on part of the business. Reuters article
• Neutral Sentiment: Meta’s metaverse unit saw another management change, with Metaverse Products Group lead Gabriel Aul quietly leaving and being replaced by Saxs Persson. This is more of an internal reshuffle than a clear stock catalyst. Business Insider article
• Negative Sentiment: Reuters reported that a high-profile hack exposed weaknesses in Meta’s AI support chatbot, highlighting security risks as the company automates sensitive account functions. Reuters article
• Negative Sentiment: State attorneys general also urged a court to revive antitrust claims against Meta, keeping regulatory and legal overhangs in the background. MediaPost article

Analyst Upgrades and Downgrades

META has been the topic of several recent research reports. Morgan Stanley reduced their price target on Meta Platforms from $825.00 to $775.00 and set an "overweight" rating on the stock in a research report on Monday, March 30th. Truist Financial dropped their price objective on shares of Meta Platforms from $900.00 to $840.00 and set a "buy" rating on the stock in a research note on Thursday, April 30th. Tigress Financial boosted their target price on shares of Meta Platforms from $935.00 to $945.00 and gave the stock a "strong-buy" rating in a research report on Wednesday, March 18th. Royal Bank Of Canada restated an "outperform" rating and issued a $810.00 target price on shares of Meta Platforms in a research note on Monday. Finally, Roth Mkm reaffirmed a "buy" rating on shares of Meta Platforms in a research note on Thursday, April 30th. Three research analysts have rated the stock with a Strong Buy rating, thirty-five have assigned a Buy rating, nine have assigned a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, Meta Platforms presently has an average rating of "Moderate Buy" and a consensus target price of $840.60.

Meta Platforms Trading Up 4.2%

Shares of NASDAQ META opened at $622.98 on Thursday. The stock's 50 day moving average price is $618.18 and its two-hundred day moving average price is $636.74. Meta Platforms, Inc. has a 52-week low of $520.26 and a 52-week high of $796.25. The stock has a market capitalization of $1.58 trillion, a P/E ratio of 22.65, a PEG ratio of 1.06 and a beta of 1.23. The company has a quick ratio of 2.35, a current ratio of 2.35 and a debt-to-equity ratio of 0.24.

Meta Platforms (NASDAQ:META - Get Free Report) last issued its earnings results on Wednesday, April 29th. The social networking company reported $10.44 EPS for the quarter, topping the consensus estimate of $6.67 by $3.77. Meta Platforms had a return on equity of 36.93% and a net margin of 32.84%.The company had revenue of $56.31 billion during the quarter, compared to analyst estimates of $55.56 billion. During the same quarter last year, the firm earned $6.43 EPS. The business's revenue was up 33.1% on a year-over-year basis. On average, analysts anticipate that Meta Platforms, Inc. will post 29.35 earnings per share for the current fiscal year.

Meta Platforms Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, June 25th. Stockholders of record on Monday, June 15th will be issued a $0.525 dividend. The ex-dividend date of this dividend is Monday, June 15th. This represents a $2.10 annualized dividend and a dividend yield of 0.3%. Meta Platforms's payout ratio is 7.63%.

Insider Buying and Selling at Meta Platforms

In related news, CFO Susan J. Li sold 9,195 shares of the firm's stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $607.84, for a total value of $5,589,088.80. Following the sale, the chief financial officer owned 13,186 shares of the company's stock, valued at approximately $8,014,978.24. This trade represents a 41.08% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Javier Olivan sold 837 shares of the business's stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $629.29, for a total value of $526,715.73. Following the transaction, the chief operating officer owned 12,986 shares of the company's stock, valued at $8,171,959.94. This represents a 6.06% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 42,860 shares of company stock worth $26,555,260. 13.53% of the stock is owned by company insiders.

Meta Platforms Company Profile

Meta Platforms, Inc NASDAQ: META, formerly Facebook, Inc, is a global technology company best known for building social networking services and immersive computing platforms. Founded in 2004 and headquartered in Menlo Park, California, the company operates a family of consumer-facing products and services that connect users, creators and businesses. In October 2021 the company rebranded as Meta to reflect an expanded strategic focus on augmented and virtual reality technologies alongside its social media businesses.

Meta's core consumer products include Facebook, Instagram, WhatsApp and Messenger, which enable social networking, messaging, content sharing and community building across mobile and desktop devices.

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