Meta Platforms Stock Rallying Ahead of Earnings

Core Insights - Meta Platforms Inc is set to report its third-quarter earnings on October 29, with expected earnings of $6.61 per share, reflecting a 9.6% increase year-over-year, and projected revenue of $49.45 billion [1] Group 1: Earnings and Financial Performance - The anticipated earnings per share of $6.61 represents a 9.6% increase from the same quarter last year [1] - Revenue expectations for the quarter stand at $49.45 billion [1] Group 2: AI Developments - Meta's AI spending will be a focal point this quarter, highlighted by the announcement of 600 job cuts within its AI unit [2] - CEO Mark Zuckerberg appointed Vishal Shah to a significant AI-related position, indicating a strategic shift within the AI division [2] Group 3: Stock Performance and Market Reactions - Meta has shown a pattern of strong post-earnings performance, with the stock finishing higher after its last three quarterly reports, including an 11.4% increase following the July report [3] - The options market is pricing in a 9.9% potential swing in stock price following the earnings announcement, which is larger than the average 7.6% move over the past two years [3] - As of the latest trading, Meta's stock is up 0.7% at $755.84, aiming for its eighth consecutive win, with recent support found at the 120-day moving average [4]