From Nasdaq: 2024-06-06 05:29:00

The U.S. economy has a history of producing valuable companies, with Apple being the first to reach a $1 trillion valuation in 2018. Meta Platforms could be the next to join the $2 trillion club due to its strong earnings growth and AI opportunities. Their AI strategy has transformed Facebook and Instagram into social entertainment platforms, increasing user engagement and revenue. Meta experienced a 27% revenue increase in the first quarter of 2024, with net income soaring 117% due to cost cuts and increased ad impressions. Meta plans to invest heavily in AI with $35-40 billion in capital expenditures in 2024 to drive further revenue growth. Wall Street estimates Meta will generate $20.18 in earnings per share in 2024, potentially leading to a market cap of $2 trillion within three years. While Meta Platforms may not be on The Motley Fool’s list of best stocks to buy now, their strong earnings growth and AI advancements suggest a clear path to a $2 trillion valuation in the future.



Read more at Nasdaq: 1 Unstoppable Stock Set to Join Nvidia, Microsoft, Apple, and Alphabet In the $2 Trillion Club Within 3 Years