Both Meta Platforms and Microsoft beat earnings expectations, provide positive guidance for future growth.

From Nasdaq: 2025-05-01 17:26:00

The Nasdaq rebounds as Meta Platforms and Microsoft exceed expectations in Q1. Meta’s sales up 16% to $42.31 billion, EPS up 36% to $6.43. Microsoft’s Q3 sales rise 13% to $70.06 billion, net income up 18% to $3.46 per share. Both companies provide strong revenue guidance for Q2 and Q4, with positive growth projections for the future.

Meta’s AI initiatives drive monthly active users to nearly a billion. Microsoft’s cloud revenue jumps 20% to $42.4 billion, with Azure sales growing 21%. Both companies maintain a Zacks Rank #3 (Hold) but may see buy ratings soon. Investors could see more upside in their stock following positive results and guidance.

Meta and Microsoft offer long-term value to investors. Meta’s forward P/E valuation is the second cheapest among tech giants. Microsoft’s forward P/E of 30.3X offers a 20% discount to its historical high. Both companies have potential for growth as they continue to exceed earnings expectations and provide positive outlooks for the future.



Read more at Nasdaq: Buy Meta Platforms or Microsoft Stock After Beating Earnings Expectations?