Carmignac Gestion Reduces Stake in Meta Platforms, Inc. $META

Key Points

• Carmignac Gestion reduced its Meta Platforms stake by 9.5% in the second quarter, selling 10,850 shares and retaining 103,560 shares valued at approximately $58.3 million. Institutional investors collectively own about 79.9% of META.
• Meta reported quarterly revenue of $60.8 billion, up 28% year over year and slightly above estimates, but earnings of $6.18 per share missed consensus by $1.01. The company also announced a quarterly dividend of $0.525 per share, equivalent to a 0.3% annualized yield.
• Analysts remain broadly bullish, with MarketBeat reporting a “Moderate Buy” consensus and an average price target of $787.86, though concerns persist over sharply higher AI and data-center spending, competition, privacy issues and regulatory risks.

Carmignac Gestion cut its holdings in shares of Meta Platforms, Inc. (NASDAQ:META - Free Report) by 9.5% in the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 103,560 shares of the social networking company's stock after selling 10,850 shares during the period. Meta Platforms makes up approximately 0.7% of Carmignac Gestion's holdings, making the stock its 29th biggest position. Carmignac Gestion's holdings in Meta Platforms were worth $58,334,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also modified their holdings of META. RHL Group LLC acquired a new position in shares of Meta Platforms in the fourth quarter worth about $28,000. Advantage Trust Co purchased a new position in shares of Meta Platforms during the 2nd quarter valued at $28,000. Niles Investment Management LLC purchased a new position in Meta Platforms in the fourth quarter valued at about $29,000. Philadelphia Investment Partners LLC purchased a new position in Meta Platforms in the second quarter valued at about $32,000. Finally, Axiom Investment Management LLC acquired a new position in Meta Platforms in the 1st quarter worth about $36,000. Institutional investors and hedge funds own 79.91% of the company's stock.

Meta Platforms Price Performance

Shares of META stock opened at $715.62 on Tuesday. The company has a debt-to-equity ratio of 0.32, a quick ratio of 2.23 and a current ratio of 2.23. The stock has a market capitalization of $1.82 trillion, a PE ratio of 26.95, a PEG ratio of 1.31 and a beta of 1.25. Meta Platforms, Inc. has a 52 week low of $520.26 and a 52 week high of $779.82. The stock's fifty day moving average is $616.56 and its 200-day moving average is $613.27.

Meta Platforms (NASDAQ:META - Get Free Report) last announced its quarterly earnings data 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). The firm had revenue of $60.80 billion during the quarter, compared to the consensus estimate of $60.22 billion. Meta Platforms had a net margin of 29.83% and a return on equity of 33.18%. The firm's quarterly revenue was up 28.0% on a year-over-year basis. During the same quarter in the previous year, the business posted $7.14 earnings per share. Equities research analysts expect that Meta Platforms, Inc. will post 27.93 EPS for the current fiscal year.

Meta Platforms Announces Dividend

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

Insider Activity at Meta Platforms

In related news, CTO Andrew Bosworth sold 7,848 shares of the business's stock in a transaction that occurred on Tuesday, August 18th. The shares were sold at an average price of $558.00, for a total transaction of $4,379,184.00. Following the completion of the transaction, the chief technology officer owned 828 shares in the company, valued at approximately $462,024. The trade was a 90.46% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Javier Olivan sold 3,348 shares of the business's stock in a transaction on Monday, July 6th. The shares were sold at an average price of $600.97, for a total transaction of $2,012,047.56. Following the completion of the transaction, the chief operating officer directly owned 9,498 shares of the company's stock, valued at $5,708,013.06. This trade represents a 26.06% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 150,807 shares of company stock worth $102,155,232. 13.53% of the stock is owned by company insiders.

Meta Platforms News Summary

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

• Positive Sentiment: Meta launched the Meta Enterprise Platform, offering businesses and developers access to its Muse AI agent, Business Agent, Muse API and Muse Code. The company hired MongoDB CEO Chirantan “CJ” Desai to lead the initiative, signaling an effort to generate revenue from its multibillion-dollar AI investments beyond advertising. Meta launches enterprise AI platform
• Positive Sentiment: Muse’s integration across Facebook, Instagram, Messenger and WhatsApp is supporting rapid user adoption; the AI-powered app reportedly reached the top spot in the U.S. App Store. Analysts also see potential revenue from subscriptions, transaction fees, enterprise tools and commercial API licensing. Meta Platforms boosts ad engagement with AI
• Positive Sentiment: Monness Crespi & Hardt raised its price target on META to $830 from $730 and maintained a Buy rating, citing the company’s AI opportunity and expanding ecosystem. AI improvements are also reportedly increasing ad engagement, clicks and conversions. Meta Platforms price target raised
• Neutral Sentiment: Investors remain divided over Meta’s AI strategy. Bullish analysts expect new AI agents, smart glasses and enterprise software to create additional revenue streams, while others question whether the returns will justify the investment.
• Negative Sentiment: Capital expenditures rose sharply to $31.1 billion in the second quarter from $19.4 billion a year earlier. The scale of data-center and AI spending is raising concerns about returns on capital and near-term margins. Meta Platforms: Are You Going to Buy the Promise?
• Negative Sentiment: Reports that OpenAI is developing a competing AI assistant intensified competitive concerns. Separately, alleged Muse disclosures of private messages and a user’s address have triggered privacy and safety criticism, potentially creating regulatory and reputational risks. Elon Musk amplifies privacy concerns over Muse
• Negative Sentiment: Meta also faces legal and political overhang after a New Mexico jury found that Facebook misled residents about personal-data practices, while lawmakers are questioning AI and data-center tax subsidies. Recent gains have additionally left the valuation less compelling, increasing sensitivity to execution disappointments.

Wall Street Analysts Forecast Growth

Several brokerages have recently issued reports on META. Erste Group Bank upgraded Meta Platforms from a "hold" rating to a "buy" rating in a report on Tuesday, July 7th. Phillip Securities upgraded shares of Meta Platforms from a "buy" rating to a "strong-buy" rating and dropped their price target for the stock from $795.00 to $750.00 in a research note on Monday, August 3rd. DA Davidson cut their price objective on Meta Platforms from $850.00 to $700.00 and set a "buy" rating on the stock in a research note on Thursday, July 30th. Barclays dropped their target price on shares of Meta Platforms from $830.00 to $780.00 and set an "overweight" rating on the stock in a report on Thursday, July 30th. Finally, Susquehanna cut their price target on Meta Platforms from $900.00 to $650.00 and set a "positive" rating for the company in a report on Thursday, July 30th. Three research analysts have rated the stock with a Strong Buy rating, forty-four have assigned a Buy rating and ten have given a Hold rating to the company. According to MarketBeat.com, Meta Platforms presently has an average rating of "Moderate Buy" and an average target price of $787.86.

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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