Meta Platforms, Inc. $META Stock: Willis Investment Counsel Boosts Position

Key Points

• Willis Investment Counsel increased its Meta position by 5.8% in the third quarter, bringing its holdings to 20,497 shares valued at approximately $14.9 million. Institutional investors and hedge funds collectively own 79.91% of Meta’s stock.
• Meta reported strong third-quarter results, with revenue rising 26.1% year over year to $64.6 billion and earnings of $7.40 per share, beating analyst expectations. Analysts remain broadly bullish, with a consensus “Moderate Buy” rating and an average price target of $833.12.
• Heavy AI investment remains the key concern: Meta’s 2026 capital-expenditure forecast could reach $145 billion, pressuring free cash flow while the company faces uncertainty over AI monetization and ongoing legal and regulatory liabilities.

Willis Investment Counsel boosted its position in shares of Meta Platforms, Inc. (NASDAQ:META - Free Report) by 5.8% in the third quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 20,497 shares of the social networking company's stock after acquiring an additional 1,130 shares during the quarter. Willis Investment Counsel's holdings in Meta Platforms were worth $14,864,000 at the end of the most recent quarter.

Several other hedge funds have also made changes to their positions in the business. Advantage Trust Co acquired a new position in shares of Meta Platforms in the second quarter worth $28,000. Philadelphia Investment Partners LLC acquired a new stake in shares of Meta Platforms in the 2nd quarter valued at $32,000. Horizons Wealth Management purchased a new stake in shares of Meta Platforms during the 3rd quarter worth $33,000. Axiom Investment Management LLC acquired a new position in shares of Meta Platforms during the first quarter worth $36,000. Finally, Schuylkill Financial LLC purchased a new position in Meta Platforms in the second quarter valued at $36,000. Institutional investors and hedge funds own 79.91% of the company's stock.

Key Stories Impacting Meta Platforms

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

• Positive Sentiment: Strong Q3 operating performance: Meta reported $64.6 billion in revenue, up 26% year over year, and adjusted earnings of $7.40 per share versus expectations of roughly $6.54. AI-driven recommendations and advertising tools are improving engagement, ad pricing and conversions. META Q3 Earnings Beat Estimates
• Positive Sentiment: Muse adoption supports the AI thesis: Meta’s Muse AI agent has surpassed 10 million downloads, strengthening the case that the company could eventually monetize AI through subscriptions, enterprise services and additional advertising. However, meaningful revenue contribution is expected later, potentially from 2027 onward. Meta Muse Adoption
• Positive Sentiment: Analysts remain broadly constructive: UBS, Citigroup, Mizuho, JPMorgan, Bank of America and other firms raised or reaffirmed bullish ratings and price targets, citing resilient advertising growth and long-term AI potential. Some investors, including commentator Mike Khouw, view the selloff as a buying opportunity. Why Mike Khouw Is Buying Meta
• Neutral Sentiment: New Class C shares and a 2-for-1 split: Meta plans to issue one non-voting Class C share for each Class A and Class B share. The move should improve trading liquidity and give Mark Zuckerberg greater flexibility to sell shares or finance AI investment without surrendering voting control, but it does not by itself create economic value for shareholders. Meta’s New Non-Voting Shares
• Neutral Sentiment: Commercial terms delayed: Meta postponed controversial terms that publishers and advertisers said could authorize broader web scraping, moving implementation to November 20 from October 30. The delay may reduce near-term friction, though the underlying regulatory and customer concerns remain. Meta Delays Commercial Terms
• Negative Sentiment: AI spending is the main pressure: Meta lifted the lower end of its 2026 capital-expenditure forecast to $135 billion, with spending potentially reaching $145 billion. Free cash flow turned negative as infrastructure investment accelerated, while credit-default-swap costs reached records. Investors are questioning when Muse and other AI projects will generate returns. Meta AI Spending and Free Cash Flow
• Negative Sentiment: Legal and regulatory risks remain significant: Meta faces a $25 billion New Mexico privacy judgment, additional lawsuits alleging harm to children and scam advertising, and rising legal costs. The company plans to appeal the New Mexico ruling, but the liabilities add uncertainty and pressure margins. Meta New Mexico Privacy Judgment

Insider Transactions at Meta Platforms

In other news, CEO Mark Zuckerberg sold 27,474 shares of the stock in a transaction that occurred on Thursday, September 24th. The stock was sold at an average price of $777.44, for a total value of $21,359,386.56. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Christopher K. Cox sold 40,000 shares of the stock in a transaction that occurred on Monday, September 21st. The shares were sold at an average price of $712.76, for a total value of $28,510,400.00. Following the completion of the sale, the insider directly owned 184,516 shares of the company's stock, valued at $131,515,624.16. The trade was a 17.82% decrease in their ownership of the stock. 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. Over the last 90 days, insiders have sold 149,906 shares of company stock worth $102,347,409. Corporate insiders own 13.53% of the company's stock.

Analyst Upgrades and Downgrades

A number of analysts have weighed in on the company. Moffett Nathanson cut their price target on Meta Platforms from $800.00 to $740.00 and set a "buy" rating on the stock in a research note on Thursday, July 30th. JPMorgan Chase & Co. lifted their price target on Meta Platforms from $920.00 to $940.00 and gave the stock an "overweight" rating in a report on Thursday. Rothschild & Co Redburn upped their price objective on Meta Platforms from $900.00 to $1,000.00 and gave the stock a "buy" rating in a research report on Tuesday, July 21st. Jefferies Financial Group increased their price objective on Meta Platforms from $710.00 to $875.00 and gave the company a "buy" rating in a report on Tuesday, September 22nd. Finally, Barclays raised their target price on Meta Platforms from $780.00 to $880.00 and gave the stock an "overweight" rating in a research report on Thursday. Three analysts have rated the stock with a Strong Buy rating, forty-seven have given a Buy rating and eight have given a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $833.12.

Meta Platforms Trading Down 1.0%

NASDAQ META opened at $642.62 on Friday. The company has a debt-to-equity ratio of 0.30, a current ratio of 1.90 and a quick ratio of 2.23. The firm's fifty day moving average price is $664.40 and its 200 day moving average price is $629.72. The company has a market capitalization of $1.64 trillion, a price-to-earnings ratio of 21.91, a price-to-earnings-growth ratio of 1.16 and a beta of 1.19. Meta Platforms, Inc. has a 12 month low of $520.26 and a 12 month high of $779.82.

Meta Platforms (NASDAQ:META - Get Free Report) last announced its quarterly earnings results on Wednesday, October 21st. The social networking company reported $7.40 EPS for the quarter, topping 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 firm had revenue of $64.60 billion for the quarter, compared to analyst estimates of $63.34 billion. During the same period last year, the business earned $7.25 EPS. Meta Platforms's revenue for the quarter was up 26.1% compared to the same quarter last year. On average, sell-side analysts expect that Meta Platforms, Inc. will post 28.01 earnings per share for the current fiscal year.

Meta Platforms Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, September 28th. Stockholders of record on Monday, September 21st were given 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 dividend yield of 0.3%. Meta Platforms's payout ratio is 7.91%.

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'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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