Meta Platforms, Inc. $META Position Lessened by Concentrum Wealth Management

Key Points

• Concentrum Wealth Management sharply reduced its Meta Platforms stake by 90.5% in the fourth quarter, selling more than 1.1 million shares. Meta is still its largest holding, making up about 21.8% of the portfolio.
• Meta is undergoing a major AI-focused restructuring, including about 8,000 job cuts and moving roughly 7,000 employees into AI-related roles. The changes highlight management’s push to fund AI investment, but they also raise concerns about near-term profit pressure and execution risk.
• The company recently posted strong quarterly results, with EPS of $10.44 and revenue of $56.31 billion, both above expectations. Despite insider selling and some caution from analysts, Wall Street remains broadly positive on Meta, with a Moderate Buy consensus and a price target well above the current share price.

Concentrum Wealth Management cut its stake in Meta Platforms, Inc. (NASDAQ:META - Free Report) by 90.5% during the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm owned 118,088 shares of the social networking company's stock after selling 1,125,489 shares during the quarter. Meta Platforms comprises about 21.8% of Concentrum Wealth Management's portfolio, making the stock its biggest position. Concentrum Wealth Management's holdings in Meta Platforms were worth $77,949,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors and hedge funds have also made changes to their positions in the company. Westchester Capital Management Inc. purchased a new position in shares of Meta Platforms in the 3rd quarter valued at $26,000. Strategic Wealth Advisors LLC purchased a new position in Meta Platforms during the 4th quarter worth $29,000. Key Capital Management INC purchased a new position in Meta Platforms during the 4th quarter worth $48,000. Fairway Wealth LLC grew its stake in Meta Platforms by 36.8% during the 4th quarter. Fairway Wealth LLC now owns 78 shares of the social networking company's stock worth $51,000 after buying an additional 21 shares during the last quarter. Finally, Merrithew & Thorsten Inc purchased a new position in Meta Platforms during the 4th quarter worth $52,000. 79.91% of the stock is currently owned by hedge funds and other institutional investors.

Meta Platforms News Summary

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

• Negative Sentiment: Meta began cutting about 8,000 jobs, or roughly 10% of its workforce, as part of a broader AI-first restructuring. Investors may view the move as evidence that the company needs to offset rising AI investment costs, which could weigh on near-term profitability. Meta Begins Laying Off Thousands of Employees as It Transforms Around AI
• Negative Sentiment: Multiple reports say Meta tied the layoffs to funding its AI push, reinforcing worries that aggressive investment in AI could pressure earnings and cash flow before the benefits show up. Zuckerberg says 'success isn't a given' in memo to employees amid Meta layoffs
• Negative Sentiment: Management’s decision to reassign about 7,000 workers into AI-related roles while cutting headcount highlights the scale of the internal overhaul and may keep morale and execution risks in focus. Meta Moves 7,000 Workers Into AI Roles Ahead of Job Cuts
• Negative Sentiment: Meta’s CFO, Susan Li, sold shares in a pre-arranged transaction, which can add to short-term caution even though the sale was reportedly for tax withholding purposes. Meta Platforms NASDAQ: META CFO Susan Li Sells 2,127 Shares
• Neutral Sentiment: Meta also offered rival AI chatbots limited free access to WhatsApp in Europe, a move that could support platform usage but does not yet have a clear near-term financial impact. Exclusive: Meta offers AI rival chatbots limited free WhatsApp access, sources say
• Neutral Sentiment: Analysts remain generally constructive on Meta’s long-term earnings power, with Wells Fargo only slightly trimming its price target while keeping an Overweight rating. Wells Fargo Trims Meta Platforms Price Target to $765: Why the AI Infrastructure Bet Still Has Believers

Meta Platforms Stock Performance

Shares of META opened at $605.06 on Thursday. The stock has a 50-day moving average of $619.50 and a two-hundred day moving average of $637.47. Meta Platforms, Inc. has a one year low of $520.26 and a one year high of $796.25. The company has a debt-to-equity ratio of 0.24, a quick ratio of 2.35 and a current ratio of 2.35. The stock has a market cap of $1.53 trillion, a P/E ratio of 21.99, a P/E/G ratio of 1.06 and a beta of 1.25.

Meta Platforms (NASDAQ:META - Get Free Report) last issued its quarterly earnings results on Wednesday, April 29th. The social networking company reported $10.44 EPS for the quarter, topping analysts' consensus estimates 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 analysts' expectations of $55.56 billion. During the same quarter in the previous year, the firm posted $6.43 EPS. The firm's revenue was up 33.1% compared to the same quarter last year. As a group, research analysts predict that Meta Platforms, Inc. will post 29.49 EPS for the current year.

Insider Activity

In other news, COO Javier Olivan sold 2,778 shares of the business's stock in a transaction dated Monday, April 13th. The stock was sold at an average price of $629.45, for a total value of $1,748,612.10. Following the completion of the transaction, the chief operating officer owned 10,557 shares of the company's stock, valued at $6,645,103.65. The trade was a 20.83% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Andrew Bosworth sold 7,847 shares of the business's stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $607.83, for a total value of $4,769,642.01. Following the completion of the transaction, the chief technology officer directly owned 414 shares of the company's stock, valued at approximately $251,641.62. This trade represents a 94.99% 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 171,517 shares of company stock valued at $109,138,067 in the last quarter. 13.53% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

Several brokerages recently weighed in on META. Citizens Jmp restated a "market outperform" rating and set a $900.00 target price on shares of Meta Platforms in a research note on Tuesday, April 21st. Deutsche Bank Aktiengesellschaft boosted their target price on Meta Platforms from $880.00 to $920.00 and gave the stock a "buy" rating in a research note on Thursday, January 29th. Evercore boosted their target price on Meta Platforms from $875.00 to $900.00 and gave the stock an "outperform" rating in a research note on Thursday, January 29th. Erste Group Bank downgraded Meta Platforms from a "buy" rating to a "hold" rating in a research note on Thursday, April 2nd. Finally, Wedbush boosted their target price on Meta Platforms from $880.00 to $900.00 and gave the stock an "outperform" rating in a research note on Thursday, January 29th. Four research analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating and nine have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, Meta Platforms currently has an average rating of "Moderate Buy" and a consensus price target of $840.19.

About Meta Platforms

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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