Meta Platforms is set to report its third-quarter 2025 results on Oct. 29, with expected revenues between $47.5 billion and $50.5 billion. The Zacks Consensus Estimate for revenues is $49.43 billion, up 21.8% from last year. Earnings are estimated at $6.60 per share, showing 9.5% growth.

Meta Platforms has beaten earnings estimates in the past four quarters with an average surprise of 20.47%. The company’s advertising revenue growth is strong, with estimates of $48.5 billion for Q3 2025, reflecting a 21.6% increase year-over-year. META leverages AI to enhance user experience and engagement.

Despite rising expenses, Meta Platforms continues to invest in AI and machine learning to improve its platforms, including Facebook, WhatsApp, and Instagram. The company’s Reality Labs business, however, is expected to report a wider loss in Q3 2025. META’s stock has outperformed the sector but lags behind industry peers.

META’s current valuation is stretched, with a Value Score of D. The company trades at 8.35X forward price/sales, higher than sector peers. Meta Platforms’ use of AI across its platforms drives user engagement and helps advertisers target their ads effectively. The company’s focus on AI infrastructure expansion is promising for future growth.

With a Zacks Rank of #1 (Strong Buy), Meta Platforms is positioned for growth. The company’s AI capabilities and expanding user base make it a compelling investment option. META’s focus on security and enhancing user experience through AI-driven features strengthens its competitive position in the market.

Read more at Nasdaq: Is Meta Platforms Stock a Smart Buy Before Q3 Earnings Report?