The Motley Fool·2025-11-27 09:50Core Insights - Meta Platforms and Amazon are projected to surpass the combined market value of Nvidia and Palantir by the end of the decade, with Nvidia at $4.3 trillion and Palantir at $395 billion, totaling approximately $4.7 trillion [1][2]. Meta Platforms - Meta Platforms owns three of the four most popular social media networks, providing significant insights into consumer preferences, which enhances its advertising targeting capabilities [3]. - The company has developed custom AI chips and large language models, leading to increased user engagement and higher ad conversion rates [4]. - Meta is also working on a superintelligence system for augmented reality smart glasses, aiming to dominate the smart glasses market with a 73% share [5]. - Current trading at 28 times earnings, Meta's earnings are expected to grow at 16% annually, potentially increasing its market value to $4.8 trillion by late 2030 [6][8]. - Even if growth expectations are not fully met, the current price offers an attractive entry point for long-term investors [7]. Amazon - Amazon's investment thesis is based on its leadership in e-commerce and cloud computing, with a strong presence in retail advertising and AWS [9]. - The company is actively monetizing AI across its businesses, offering various cloud services and developing AI tools for retail efficiency [10][12]. - AWS has introduced custom AI accelerators that outperform current GPUs, with partnerships to enhance AI model development [11]. - Amazon's operating margin has improved, with potential for further enhancement through AI and robotics innovations [13]. - Trading at 33 times earnings, Amazon's earnings are forecasted to grow at 19.5% annually, potentially reaching a market value of $4.8 trillion by late 2030 [14][15].