Threads, Meta’s text-based social media platform that sought to capitalize on user frustration with the Elon Musk-owned X, overtook its competitor in daily active users on mobile devices worldwide for the first time this month. (Photo: Robert Way via Getty Images) https://t.co/SDRPN7lwBZ ...

Threads is developing a new feature that would let users control what they see by 'tagging' the algorithm. https://t.co/nTxH1EZDj5 ...

Last week (Sept. 15 to Sept. 21), Threads just edged out X in the average number of daily active users, according to Similarweb data, leading with 130.2 million daily users over X’s 130.1 million. https://t.co/YdZqLvBdpT ...

Two of Wall Street's premier artificial intelligence (AI) applications leaders are sending a clear (and ominous) message to investors.No trend has been more impactful on Wall Street over the last three years than the rise of artificial intelligence (AI). Empowering software and systems with the tools to make split-second decisions without human oversight, as well as to potentially learn over time and become more efficient at their assigned tasks (or new tasks), makes the addressable market for AI sky-high.O ...

Core Viewpoint - Meta Platforms is a strong company with impressive financial results, but its revenue concentration and dependence on advertising platforms suggest a lower valuation compared to its tech peers [1][2][3]. Financial Performance - In the first half of the year, Meta's revenue rose 22% year over year to $47.5 billion in Q2 2025, with income from operations increasing by 38% and an operating margin of 43% [5]. - The demand for advertising has been broad-based across various verticals and geographies, with smaller advertisers contributing to growth [5]. Revenue Concentration - Meta generates substantially all of its revenue from advertising, making it vulnerable to fluctuations in marketers' budgets, which can lead to sudden compressions in revenue and operating leverage [6][10]. - The cyclical nature of advertising spending means that during economic downturns, brands may quickly reduce their advertising budgets, impacting Meta's financial performance [6]. Platform Dependence - Meta's distribution relies on mobile operating systems and app stores controlled by Apple and Alphabet, which poses risks to its ability to target and measure ads effectively [7]. - Changes in policies by these platforms, such as Apple's App Tracking Transparency, have already negatively impacted Meta's ad performance and revenue [7]. Competitive Landscape - Meta faces significant competition for user attention from platforms like TikTok and Snap, which have rapidly gained popularity among younger demographics [8][9]. - Despite improvements in Meta's offerings, the competition for time and attention remains intense, affecting its user engagement [8]. Valuation Considerations - Given its reliance on discretionary ad budgets, dependence on external platforms, and competition, Meta's price-to-earnings multiple is expected to remain in the high-20s, lower than that of companies like Microsoft and Amazon [10][11]. - The current valuation reflects the structural risks associated with Meta's business model, which is more volatile compared to companies with diversified revenue streams [10][11].

Meta Platforms, Inc. (NASDAQ:META) is one of the 10 Best NASDAQ Stocks to Buy For Long Term. On September 16, Reuters reported that Meta Platforms, Inc. (NASDAQ:META) is expected to introduce new smart glasses at its annual Connect event. Mark Zuckerberg, Meta Platforms, Inc.’s (NASDAQ:META) CEO, is expected to reveal the company’s first consumer-ready smart glasses. These glasses will have a built-in display and are expected to retail for approximately $800, according to analysts. META to Unveil New Sma ...

Group 1 - Meta Platforms, Inc. (NASDAQ:META) has transformed from a desktop entity to a mobile-centric company through strategic acquisitions like Instagram and WhatsApp, significantly enhancing its market position [1][2] - The company develops a range of products and services, including Facebook, Instagram, WhatsApp, Messenger, and Threads, and is also involved in virtual, augmented, and mixed reality technologies via its Reality Labs division [2] - Jim Cramer highlighted the concentration of capital in a few companies, including Meta, which has shown substantial growth over the past 12 years, emphasizing that this concentration is not detrimental but rather lucrative [2]

Meta Platforms, Inc. (NASDAQ:META) is among the Stocks That Could 10X in the Next 3 Years. On September 11, Andrew Boone from Citizens JMP reiterated a Market Outperform rating on Meta Platforms, Inc. (NASDAQ:META) with a $900 price target. The analyst highlighted the company’s expansion of Reels trending ads to all advertisers for the holiday season. He noted that early analysis shows that these ads boost unaided brand awareness by 20%; this figure matches that of YouTube Select and surpasses TikTok Puls ...

Core Insights - Meta Platforms (META) and Snap (SNAP) are leveraging AI to enhance user engagement and attract advertisers, leading to increased advertising revenue growth [1][2][6] Digital Advertising Growth - Global ad spending is projected to grow 4.9% to $992 billion by 2025, with digital ad spending expected to rise 7.9% to $678.7 billion [2] - META's advertising revenue for Q3 2025 is estimated at $48.44 billion, reflecting over 21% growth year-over-year [5] Meta Platforms' Performance - META's AI initiatives, including the Andromeda machine learning system, have improved ad targeting, resulting in a 5% increase in ad conversions on Instagram and 3% on Facebook in Q2 2025 [2] - Engagement metrics show a 5% increase in time spent on Facebook and 6% on Instagram, with video engagement on Instagram rising over 20% year-over-year [3] - META AI has surpassed 1 billion monthly active users and is available in over 200 countries [4] - Earnings estimates for META in 2025 are projected at $28.13 per share, indicating a 17.9% increase from 2024 [10] Snap's Performance - Snap's advertising platform saw a 39% year-over-year growth in commerce-driven ad volume in Q2 2025, with new ad formats improving conversion rates [6] - Snap's daily active users reached 469 million, an 8.6% increase year-over-year, with a subscriber base for Snapchat+ nearing 16 million [7][8] - Earnings estimates for Snap in 2025 remain steady at 25 cents per share, suggesting a 13.79% decline from 2024 [11] Stock Performance and Valuation - META shares have appreciated 33% year-to-date, while SNAP shares have declined by 28.1% [12] - META is trading at a forward Price/Sales ratio of 8.99X, compared to SNAP's 2.06X, indicating that both stocks are considered overvalued [15] Conclusion - Both META and SNAP are positioned to benefit from increasing digital ad spending, but META's larger user base, AI advancements, and rising earnings estimates provide it with a competitive advantage over SNAP [18]

Core Viewpoint - Meta Platforms has shown strong stock performance with a nearly 30% rise this year, and it is considered an excellent buying opportunity due to several compelling reasons. Group 1: Dominance and Revenue Growth - Meta Platforms operates the most widely used social media apps globally, including Facebook, Instagram, Messenger, WhatsApp, and Threads [3] - In Q2, Meta's advertising revenue increased by 22%, and Q3 is expected to see a 20% rise in revenue, indicating continued strength in its business [3] Group 2: AI Integration - The rapid revenue growth is attributed to the incorporation of artificial intelligence (AI) features into its advertising platform, leading to improved ad conversions and increased user engagement [4] - Meta has attracted top AI talent with significant signing bonuses, which may yield innovations in the coming years [5] Group 3: Valuation and Growth Potential - Despite being at the forefront of AI investments, Meta's stock is not dramatically overvalued, trading at just over 27 times trailing earnings, which is reasonable compared to the S&P 500's 24.8 times earnings [6][8] - The company is also exploring other technologies, such as AI glasses, which could enhance its product offerings if developed successfully [9]