Meta Platforms saw strong Q4 results with revenue up 21% YoY and plans to invest in AI

From Nasdaq: 2025-02-02 07:35:00

Meta Platforms, listed as NASDAQ: META, saw its share price rise after releasing strong Q4 results. Revenue climbed 21% YoY to $48.4 billion, with social media app operating income up 35% to $28.3 billion. EPS soared 50% to $8.02, beating analyst estimates. Meta’s AI investments and metaverse efforts contributed to this growth. The company forecasts Q1 revenue of $39.5-$41.8 billion, with full-year 2025 capex of $60-$65 billion. Founder Mark Zuckerberg remains committed to AI spending for future growth. With positive financials and growth prospects, Meta stock is considered a buy.

Meta’s Threads app reached 320 million monthly users, showing promise for future monetization. The company plans to gradually introduce ads on Threads. Despite increased AI investments, Meta’s core platforms continue to drive engagement and monetization. With a forward P/E ratio of under 24, based on 2025 estimates, Meta stock appears attractively valued given its revenue growth. As a leading digital advertising and AI-focused company, Meta Platforms is poised for long-term success. With ongoing investments in AI and the metaverse, Meta presents a compelling investment opportunity.



Read more at Nasdaq: Meta Platforms’ Revenue Jumps as It Plans to Invest Big in AI. Is the Stock a Buy?