Meta Platforms Stock: What Is The 2025 Forecast?

Summary

• FB shares rose 18.4% to $207 after results, but are still 31% down over the past year. We believe they can go to $500 by 2025.
• Revenues rose just 6.6% year-on-year in Q1 and are guided to be down slightly in Q2, but there is evidence that FB's strategy is working.
• FB is making progress against iOS anti-tracking features and gaining traction in short-form video. Growth should re-accelerate in H2.
• Just as importantly, management is slowing expense growth, and Mark Zuckerberg has explicitly committed to growing group earnings.
• With FB stock at $207.09, we expect a total return of 140% (26.9% annualized) by 2025 year-end. Buy.

Fritz Jorgensen/iStock Editorial via Getty Images

Introduction; Why is FB Stock Up?

Meta Platforms Inc. (FB) (formerly Facebook) reported Q1 2022 results overnight (Wednesday, April 27). Shares rose 18.4% aftermarket to $207.09.

Investors were encouraged by evidence that FB's strategy is working. Impressions growth was strong, user numbers

Analyst’s Disclosure:I/we have a beneficial long position in the shares of FB either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.