Pinnacle Associates Ltd. Purchases 41,307 Shares of Meta Platforms, Inc. $META

Key Points

• Pinnacle Associates increased its Meta Platforms stake by 25.4% in the second quarter, purchasing 41,307 shares for a total of 203,836 shares valued at approximately $114.8 million.
• Institutional investors own about 79.91% of Meta’s outstanding stock, with several major firms—including Vanguard and State Street—also increasing their positions.
• Analysts maintain a generally positive outlook, with a consensus “Moderate Buy” rating and an average price target of $785.22. Meta’s latest quarterly revenue rose 28% year over year and exceeded expectations, although earnings per share fell short of consensus estimates.

Pinnacle Associates Ltd. grew its holdings in shares of Meta Platforms, Inc. (NASDAQ:META - Free Report) by 25.4% in the 2nd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 203,836 shares of the social networking company's stock after purchasing an additional 41,307 shares during the quarter. Meta Platforms makes up approximately 1.3% of Pinnacle Associates Ltd.'s holdings, making the stock its 16th biggest position. Pinnacle Associates Ltd.'s holdings in Meta Platforms were worth $114,819,000 at the end of the most recent quarter.

Several other institutional investors have also recently made changes to their positions in the business. Auto Owners Insurance Co increased its holdings in Meta Platforms by 76,587.7% during the fourth quarter. Auto Owners Insurance Co now owns 105,292,277 shares of the social networking company's stock valued at $69,502,379,000 after buying an additional 105,154,977 shares during the last quarter. Norges Bank purchased a new position in shares of Meta Platforms during the 4th quarter worth $22,152,075,000. Vanguard Group Inc. boosted its stake in shares of Meta Platforms by 3.8% during the 4th quarter. Vanguard Group Inc. now owns 199,995,630 shares of the social networking company's stock worth $132,015,115,000 after acquiring an additional 7,269,279 shares during the last quarter. Corient Private Wealth LLC grew its position in shares of Meta Platforms by 488.1% during the 4th quarter. Corient Private Wealth LLC now owns 5,466,595 shares of the social networking company's stock valued at $3,608,445,000 after acquiring an additional 4,537,076 shares during the period. Finally, State Street Corp grew its position in shares of Meta Platforms by 5.1% during the 4th quarter. State Street Corp now owns 90,841,345 shares of the social networking company's stock valued at $59,963,463,000 after acquiring an additional 4,395,763 shares during the period. Institutional investors own 79.91% of the company's stock.

Analysts Set New Price Targets

A number of equities analysts recently commented on the company. Rosenblatt Securities raised their target price on Meta Platforms from $883.00 to $886.00 and gave the stock a "buy" rating in a report on Thursday, August 27th. Citizens Jmp lowered their target price on Meta Platforms from $800.00 to $770.00 and set a "market outperform" rating on the stock in a research report on Thursday, July 30th. Truist Financial cut their price target on Meta Platforms from $770.00 to $763.00 and set a "buy" rating for the company in a report on Thursday, August 27th. Guggenheim restated a "buy" rating and issued a $800.00 price target on shares of Meta Platforms in a research report on Tuesday, July 28th. Finally, KeyCorp lowered their price objective on Meta Platforms from $790.00 to $780.00 and set an "overweight" rating on the stock in a research report on Thursday, July 30th. Four equities research analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating and nine have issued a Hold rating to the company. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $785.22.

Meta Platforms Price Performance

META stock opened at $592.85 on Thursday. The company's fifty day moving average price is $593.48 and its 200-day moving average price is $609.41. Meta Platforms, Inc. has a one year low of $520.26 and a one year high of $790.80. The company has a market capitalization of $1.51 trillion, a PE ratio of 22.33, a price-to-earnings-growth ratio of 1.00 and a beta of 1.25. The company has a debt-to-equity ratio of 0.32, a quick ratio of 2.23 and a current ratio of 2.23.

Meta Platforms (NASDAQ:META - Get Free Report) last issued its quarterly earnings data on Wednesday, July 29th. The social networking company reported $6.18 earnings per share for the quarter, missing analysts' consensus estimates of $7.19 by ($1.01). Meta Platforms had a net margin of 29.83% and a return on equity of 33.18%. The firm had revenue of $60.80 billion for the quarter, compared to analysts' expectations of $60.22 billion. During the same quarter in the previous year, the business earned $7.14 EPS. The company's revenue for the quarter was up 28.0% on a year-over-year basis. On average, equities analysts anticipate that Meta Platforms, Inc. will post 28.17 EPS for the current fiscal year.

Key Headlines Impacting Meta Platforms

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

• Positive Sentiment: New AI model strengthens product narrative: Meta launched Muse Spark 1.3, described as its most advanced AI model, supporting the view that the company is intensifying competition with leading AI developers and could create new monetization opportunities. Meta Platforms unveils most powerful AI model
• Positive Sentiment: $18 billion settlement removes a major overhang: The settlement of lawsuits alleging harm to children provides greater legal visibility. Analysts believe limits on teen usage should have a limited effect on revenue and that resolving the case could clear the way for accelerated AI-product launches. Meta settlement could clear the way for new AI product launches
• Positive Sentiment: Valuation is attracting buyers: Articles characterize META as undervalued at roughly 16–20 times forward earnings, well below its historical valuation, despite 28% recent revenue growth and resilient user engagement. Morgan Stanley analysts see potential for substantial upside if AI improves advertising and product growth. Meta stock looks undervalued
• Positive Sentiment: Advertising outlook remains favorable: An analyst report argues that AI-powered targeting and engagement could help Meta challenge Google for leadership in digital advertising, adding to the stock’s growth appeal. Meta versus Google digital advertising outlook
• Neutral Sentiment: Analyst stance remains cautious: Wedbush reaffirmed a neutral rating with a $595 price target, suggesting limited near-term upside despite the improving legal and AI backdrop.
• Negative Sentiment: AI spending is pressuring cash flow: Meta’s latest results showed margin compression and sharply lower free cash flow as capital expenditures increased, creating concern that returns on its large AI investments may take time.
• Negative Sentiment: Trust and safety issues persist: Meta disabled cameras on thousands of AI glasses after detecting tampering with recording lights, while it also removed scam advertisements in India linked to malware and stolen banking credentials. These incidents could increase regulatory and reputational pressure.

Insider Buying and Selling at Meta Platforms

In related news, insider Curtis J. Mahoney sold 1,559 shares of the firm's stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $558.00, for a total value of $869,922.00. Following the completion of the transaction, the insider directly owned 1,957 shares of the company's stock, valued at approximately $1,092,006. This trade represents a 44.34% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Javier Olivan sold 3,348 shares of the company'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 sale, the chief operating officer directly owned 9,498 shares in the company, valued at approximately $5,708,013.06. The trade was a 26.06% 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. In the last ninety days, insiders sold 32,987 shares of company stock valued at $19,202,995. 13.53% of the stock is owned by company insiders.

Meta Platforms 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source