Meta Platforms (NASDAQ:META) Trading Down 1.3% - Should You Sell?

Key Points

• Meta Platforms' stock price fell 1.3% during mid-day trading, closing at $755.40, with trading volume down 28% from its average.
• The company reported earnings of $7.14 per share, exceeding estimates of $5.75, and achieved a quarterly revenue of $47.52 billion, up 21.6% year-over-year.
• Meta has recently announced a quarterly dividend of $0.525 per share, with a payout ratio of 7.60%.

Meta Platforms, Inc. (NASDAQ:META - Get Free Report)'s stock price dropped 1.3% during mid-day trading on Tuesday . The stock traded as low as $751.07 and last traded at $755.40. Approximately 10,491,740 shares were traded during mid-day trading, a decline of 28% from the average daily volume of 14,671,736 shares. The stock had previously closed at $765.16.

Wall Street Analysts Forecast Growth

A number of research analysts recently weighed in on the company. Scotiabank boosted their target price on Meta Platforms from $675.00 to $685.00 and gave the stock a "sector perform" rating in a report on Thursday, July 31st. BMO Capital Markets raised their target price on shares of Meta Platforms from $610.00 to $710.00 and gave the stock a "market perform" rating in a research note on Thursday, July 31st. Citizens Jmp lifted their target price on shares of Meta Platforms from $750.00 to $900.00 and gave the stock an "outperform" rating in a report on Thursday, July 31st. Citigroup reissued an "outperform" rating on shares of Meta Platforms in a report on Thursday, July 31st. Finally, Wedbush increased their target price on Meta Platforms from $750.00 to $920.00 and gave the stock an "outperform" rating in a research note on Thursday, July 31st. Three investment analysts have rated the stock with a Strong Buy rating, thirty-nine have issued a Buy rating and five have given a Hold rating to the company. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $826.05.

Meta Platforms Stock Down 1.3%

The firm's 50-day moving average price is $747.94 and its 200 day moving average price is $667.24. The company has a current ratio of 1.97, a quick ratio of 1.97 and a debt-to-equity ratio of 0.15. The company has a market capitalization of $1.90 trillion, a price-to-earnings ratio of 27.35, a PEG ratio of 1.62 and a beta of 1.24.

Meta Platforms (NASDAQ:META - Get Free Report) last announced its quarterly earnings data on Wednesday, July 30th. The social networking company reported $7.14 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $5.75 by $1.39. Meta Platforms had a net margin of 39.99% and a return on equity of 39.33%. The business had revenue of $47.52 billion for the quarter, compared to analysts' expectations of $44.55 billion. During the same period last year, the firm posted $5.16 earnings per share. The firm's quarterly revenue was up 21.6% compared to the same quarter last year. Meta Platforms has set its Q3 2025 guidance at EPS. On average, sell-side analysts forecast that Meta Platforms, Inc. will post 26.7 EPS for the current fiscal year.

Meta Platforms Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, September 29th. Investors of record on Monday, September 22nd will be given a dividend of $0.525 per share. The ex-dividend date is Monday, September 22nd. This represents a $2.10 annualized dividend and a yield of 0.3%. Meta Platforms's dividend payout ratio (DPR) is currently 7.60%.

Insider Activity at Meta Platforms

In other Meta Platforms news, insider Jennifer Newstead sold 519 shares of the company's stock in a transaction dated Tuesday, September 16th. The stock was sold at an average price of $767.16, for a total value of $398,156.04. Following the sale, the insider owned 30,870 shares in the company, valued at approximately $23,682,229.20. The trade was a 1.65% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Robert M. Kimmitt sold 465 shares of the company's stock in a transaction on Monday, September 15th. The shares were sold at an average price of $757.47, for a total transaction of $352,223.55. Following the sale, the director directly owned 8,412 shares in the company, valued at $6,371,837.64. This trade represents a 5.24% decrease in their position. The disclosure for this sale can be found here. Insiders sold 256,886 shares of company stock worth $195,693,600 over the last three months. Company insiders own 13.61% of the company's stock.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the business. Inlight Wealth Management LLC purchased a new stake in shares of Meta Platforms in the first quarter valued at about $25,000. Barnes Dennig Private Wealth Management LLC purchased a new stake in Meta Platforms during the first quarter valued at about $28,000. Bare Financial Services Inc purchased a new position in shares of Meta Platforms in the second quarter worth about $30,000. MJT & Associates Financial Advisory Group Inc. bought a new stake in shares of Meta Platforms in the first quarter valued at approximately $33,000. Finally, Evergreen Private Wealth LLC boosted its holdings in Meta Platforms by 237.5% in the 2nd quarter. Evergreen Private Wealth LLC now owns 54 shares of the social networking company's stock worth $40,000 after buying an additional 38 shares during the period. Institutional investors and hedge funds own 79.91% of the company's stock.

About Meta Platforms

Meta Platforms, Inc engages in the development of products that enable people to connect and share with friends and family through mobile devices, personal computers, virtual reality headsets, and wearables worldwide. It operates in two segments, Family of Apps and Reality Labs. The Family of Apps segment offers Facebook, which enables people to share, discuss, discover, and connect with interests; Instagram, a community for sharing photos, videos, and private messages, as well as feed, stories, reels, video, live, and shops; Messenger, a messaging application for people to connect with friends, family, communities, and businesses across platforms and devices through text, audio, and video calls; and WhatsApp, a messaging application that is used by people and businesses to communicate and transact privately.

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