In 2025, Meta Platforms stock struggled despite AI initiatives, trailing the market. Revenue grew by 22% to $201 million, with Q4 growth at 24%. Meta forecasts accelerated growth in Q1, using AI to enhance ad targeting and introduce generative ads recommendation models.

Meta’s revenue growth is driven by AI improvements, with ad impressions and pricing rising. The company plans to double capital expenditure to $115-135 billion in 2026, focusing on AI and metaverse hardware. Despite stock underperformance, Meta remains focused on long-term growth opportunities.

Meta, though underperforming in 2025, is valued attractively with strong growth potential. The company plans aggressive investments in AI and hardware. The Motley Fool’s Stock Advisor team did not include Meta in their top 10 stocks, suggesting other opportunities for investors.

Read more at Yahoo Finance: Can This Artificial Intelligence (AI) Stock Bounce Back in 2026?