Meta hits a record high; This is why the stock is surging
The post Meta hits a record high; This is why the stock is surging appeared on BitcoinEthereumNews.com.
Meta Platforms Inc. (NASDAQ: META) reached an all-time intraday high of $614 on December 3, 2024, surpassing its previous peak of $601.20 set on October 30. At the close of the latest trading session, Meta’s stock stood firm at $614, reflecting a remarkable one-month gain of 9% and a year-to-date (YTD) increase of 77%. META five-day price chart. Source: Finbold This performance cements Meta’s position as one of the top-performing mega-cap tech stocks, driven by strong financial results, advancements in artificial intelligence (AI), strategic global projects, and a recalibrated political approach as CEO Mark Zuckerberg seeks to influence tech policy under President-elect Donald Trump’s administration. Earnings beat fuels investor optimism Meta’s third-quarter earnings showcased a robust 18.9% year-over-year increase in revenue to $40.6 billion, outpacing analysts’ expectations of $40.2 billion. This growth was driven by a 7% rise in ad impressions and an 11% increase in the average price per ad, highlighting the effectiveness of Meta’s advertising strategies. Diluted earnings per share (EPS) soared 37.4% year-over-year to $6.03, significantly above the consensus estimate of $5.22. This solid financial performance reflects Meta’s strong operational execution and continued focus on optimizing profitability. AI revolution powers growth Meta’s investments in AI are paying off, bolstering both user engagement and advertising efficiency. AI-driven feed recommendations have increased the time users spend on Facebook by 8% and on Instagram by 6% in 2024. Meanwhile, Threads, Meta’s text-based social media platform, has experienced explosive growth, reaching nearly 275 million monthly active users with daily signups exceeding one million. This success is underpinned by a thriving global digital advertising market, which is projected to grow 9% annually to $1.5 trillion by 2030. CEO Mark Zuckerberg’s emphasis on embedding AI into ad targeting and content recommendations further solidifies Meta’s competitive advantage in this space. In parallel, Meta is…
Filed under: News - @ December 4, 2024 1:19 pm