Meta Platforms beats Q3 earnings but concerns about future spending plans disappoint investors

From Nasdaq: 2024-10-31 11:00:00

After the closing bell on Oct. 30, Meta Platforms reported better-than-expected third-quarter 2024 results, with revenues of $40.59 billion and adjusted EPS of $6.03. Despite a 3% drop in shares, Meta’s global daily active users increased to 3.29 billion. The company expects Q4 revenues of $45-$48 billion but warned of increased infrastructure spending next year.

ETFs with exposure to Meta Platforms include iShares Global Comm Services ETF (IXP), Fidelity MSCI Communication Services Index ETF (FCOM), Vanguard Communication Services ETF (VOX), Communication Services Select Sector SPDR Fund (XLC), and First Trust Dow Jones Internet Index Fund (FDN). These ETFs cover various sectors within the communication industry and have different AUM and expense ratios.

Key ETFs like iShares Global Comm Services ETF (IXP) hold a basket of 65 stocks with Meta Platforms as the top holding at 23.9%. Fidelity MSCI Communication Services Index ETF (FCOM) follows the MSCI USA IMI Communication Services 25/50 Index, with Meta Platforms at 23.2%. Vanguard Communication Services ETF (VOX) tracks the MSCI US Investable Market Communication Services 25/50 Index, with Meta Platforms at 23.1%. Communication Services Select Sector SPDR Fund (XLC) follows the Communication Services Select Sector Index, with Meta Platforms at 20.6%. First Trust Dow Jones Internet Index Fund (FDN) gives exposure to the broad Internet industry, with Meta Platforms at 10.4%.

Overall, Meta Platforms’ strong financial performance in Q3 drove mixed reactions in the market, with investors focusing on the company’s future spending plans. The company’s warning about increased infrastructure spending next year weighed on investor sentiment despite beating earnings and revenue expectations.



Read more at Nasdaq: Meta Fails to Impress Despite Q3 Earnings Beat: ETFs in Focus