Meta Platforms, Inc. $META Stock: Motley Fool Asset Management LLC Boosts Stake

Key Points

• Motley Fool Asset Management increased its Meta stake by 60.1% in the third quarter, to 140,420 shares valued at about $101.8 million; institutional investors collectively own nearly 80% of the stock.
• Meta’s latest quarter beat analyst expectations, with earnings of $7.40 per share versus $6.54 expected and revenue up 26.1% year over year to $64.6 billion.
• Analysts remain broadly positive: Meta has a consensus “Moderate Buy” rating and an average price target of $833.12.

Motley Fool Asset Management LLC boosted its stake in shares of Meta Platforms, Inc. (NASDAQ:META - Free Report) by 60.1% during the 3rd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 140,420 shares of the social networking company's stock after acquiring an additional 52,706 shares during the quarter. Meta Platforms comprises about 3.8% of Motley Fool Asset Management LLC's investment portfolio, making the stock its 6th biggest position. Motley Fool Asset Management LLC's holdings in Meta Platforms were worth $101,830,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors have also added to or reduced their stakes in META. Fairtree Asset Management Pty Ltd increased its stake in Meta Platforms by 18.6% in the 2nd quarter. Fairtree Asset Management Pty Ltd now owns 18,777 shares of the social networking company's stock worth $10,577,000 after buying an additional 2,939 shares during the period. Madison Wealth Partners Inc lifted its holdings in Meta Platforms by 33.6% during the 2nd quarter. Madison Wealth Partners Inc now owns 3,031 shares of the social networking company's stock valued at $1,707,000 after buying an additional 763 shares in the last quarter. William John Sempolinski purchased a new stake in Meta Platforms in the 2nd quarter valued at about $3,107,000. Sone Capital Management LLC boosted its position in Meta Platforms by 38.2% in the 2nd quarter. Sone Capital Management LLC now owns 16,059 shares of the social networking company's stock valued at $9,046,000 after buying an additional 4,440 shares during the period. Finally, Lakewood Capital Management LP grew its stake in Meta Platforms by 63.7% in the 2nd quarter. Lakewood Capital Management LP now owns 115,985 shares of the social networking company's stock worth $65,333,000 after acquiring an additional 45,130 shares in the last quarter. 79.91% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

A number of equities analysts have recently commented on META shares. The Goldman Sachs Group reaffirmed a "buy" rating and set a $885.00 target price on shares of Meta Platforms in a research report on Thursday, October 22nd. Moffett Nathanson decreased their price target on shares of Meta Platforms from $800.00 to $740.00 and set a "buy" rating for the company in a research note on Thursday, July 30th. HSBC lowered their price target on Meta Platforms from $905.00 to $830.00 and set a "buy" rating for the company in a report on Thursday, July 30th. Pivotal Research increased their price objective on Meta Platforms from $930.00 to $960.00 and gave the stock a "buy" rating in a research note on Thursday, October 22nd. Finally, Citic Securities reduced their price objective on Meta Platforms from $770.00 to $718.00 and set a "buy" rating on the stock in a report on Monday, August 3rd. Three equities research analysts have rated the stock with a Strong Buy rating, forty-seven have issued a Buy rating and seven have given a Hold rating to the stock. According to data from MarketBeat.com, Meta Platforms presently has an average rating of "Moderate Buy" and a consensus target price of $833.12.

Meta Platforms News Summary

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

• Positive Sentiment: Meta’s bond sale attracted orders reportedly reaching $58 billion, a sign of robust investor appetite for the company’s debt. That demand may have helped support the stock despite concerns about Big Tech’s AI spending. Article: Meta stock rises as $20B bond sale attracts strong investor demand
• Positive Sentiment: Meta completed a $15 billion, five-part U.S. bond sale. The successful issuance gives the company capital to support its investment plans, while recent earnings-call coverage highlighted ad growth and adoption of its Muse AI tools. Article: Meta raises $15 billion in five-part US bond sale Article: META Q3 Earnings Call Put Spotlight on Muse Growth and AI Spending
• Neutral Sentiment: Meta and Snap settled claims related to alleged harm to young users from social media; financial terms were not disclosed. The settlements avert the scheduled trial, but do not resolve broader scrutiny of platform design. Article: Snap Settled a Social Media Addiction Suit
• Negative Sentiment: The bond financing underscores the cost of Meta’s AI ambitions. Reports indicate borrowing costs rose, while the company is ramping up spending on data centers and AI models—raising questions about returns and pressure on future cash flow. Article: Apple Shares Slip, Meta Debt Costs Rise Article: Meta seeks to raise up to $25 billion in debt sale as AI spending jumps
• Negative Sentiment: Meta postponed new business terms after backlash over potential web scraping, and reports of its AI crawler overwhelming a small business website add to reputational and policy risks. Article: Meta delays new business terms after outcry over potential web scraping of news sites

Insider Activity at Meta Platforms

In other Meta Platforms news, CTO Andrew Bosworth sold 7,848 shares of the company's stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $558.00, for a total transaction of $4,379,184.00. Following the completion of the sale, the chief technology officer owned 828 shares in the company, valued at $462,024. This represents a 90.46% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Aaron Anderson sold 3,240 shares of the stock in a transaction on Thursday, September 3rd. The shares were sold at an average price of $618.06, for a total value of $2,002,514.40. Following the sale, the chief accounting officer directly owned 6,271 shares in the company, valued at $3,875,854.26. This trade represents a 34.07% 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. Insiders sold a total of 149,515 shares of company stock valued at $102,183,520 over the last quarter. 13.53% of the stock is owned by insiders.

Meta Platforms Stock Up 2.4%

Shares of Meta Platforms stock opened at $621.03 on Wednesday. The company has a debt-to-equity ratio of 0.30, a current ratio of 1.90 and a quick ratio of 1.90. Meta Platforms, Inc. has a 1 year low of $520.26 and a 1 year high of $779.82. The firm's 50-day moving average is $672.41 and its two-hundred day moving average is $632.16. The stock has a market cap of $1.59 trillion, a price-to-earnings ratio of 21.17, a PEG ratio of 1.05 and a beta of 1.28.

Meta Platforms (NASDAQ:META - Get Free Report) last posted its quarterly earnings results on Thursday, October 22nd. The social networking company reported $7.40 EPS for the quarter, beating the consensus estimate of $6.54 by $0.86. Meta Platforms had a net margin of 31.15% and a return on equity of 30.73%. The business had revenue of $64.60 billion during the quarter, compared to analyst estimates of $63.34 billion. During the same quarter in the previous year, the business posted $7.25 EPS. The company's quarterly revenue was up 26.1% compared to the same quarter last year. As a group, research analysts expect that Meta Platforms, Inc. will post 29.01 earnings per share for the current fiscal year.

Meta Platforms Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, September 28th. Investors of record on Monday, September 21st were issued a dividend of $0.5250 per share. This represents a $2.10 annualized dividend and a yield of 0.3%. The ex-dividend date of this dividend was Monday, September 21st. Meta Platforms's dividend payout ratio (DPR) is presently 7.16%.

About Meta Platforms

Meta Platforms, Inc is a technology company that develops social networking, messaging, virtual and augmented reality, and artificial intelligence products. The company's principal platforms include Facebook, Instagram, Messenger, WhatsApp, and Threads, which enable users to connect, communicate, share content, and discover products and services.

Meta also operates Reality Labs, its division focused on virtual, augmented, and mixed reality technologies. Reality Labs develops products such as Meta Quest virtual reality headsets and related software and experiences, along with research and hardware intended to support immersive computing.

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