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Raymond James said Meta Platforms is demonstrating strong ad spending performance relative to other social media and search companies, supported by its Advantage+ advertising tools and recent enhancements to Business Messaging. Among these changes is a new pricing model that offers free service conversations and charges to outbound messages. In addition, Meta’s AI chatbot is currently in beta testing and could see a broader rollout in the third quarter of 2025.
Buy, $683->$812: UBS said Meta Platforms stands to benefit from consumer and advertiser demand for AI. The analysts noted that Meta is is “not necessarily exposed” to the danger of what may be slower-than-anticipated enterprise AI spending since it’s the primary user of AI technology.
https://seekingalpha.com/news/4462816-meta-gets-a-meaty-pt-hike-from-ubs-on-ai-demand-optimism
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Overweight, $920: Cantor Fitzgerald analyst Deepak Mathivanan highlighted Meta’s successful efforts in the last three years to increase engagement on commercial surfaces. He pointed to Meta’s recent filling in their defense against the FTC trial which shows total time spent on Facebook and Instagram has increased by 25-pts and 35-pts, respectively, between 2023 and 2025. Similarly, daily time spent per daily active user on Reels has increased by approximately threefold on Facebook and fourfold on Instagram.
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Overweight, $810: Barclays said WhatsApp could contribute $6 billion in additional ad revenue by 2026 while Threads could bring in $19 billion in 2027.
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WhatsApp could become a a “$40B by 2030” business segment
Outperform, $875: Evercore ISI said WhatsApp could become a “$40B by 2030” business segment, generating $20 billion in operating income and adding $7.15 to Meta’s EPS.
Evercore believes Meta is pursuing AI leadership from a position of strength.
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Metaverse budget cut signals Meta has a better sense of discipline as it embarks on AI spending, Mizuho analyst Lloyd Walmsley said
- Outperform, $815: Mizuho analyst Lloyd Walmsley said Metaverse budget cut as reported by Bloomberg signals Meta has a better sense of discipline as it embarks on AI spending.
- He expects significant share price increase and project that the cost-savings will increase 2026’s EPS by around $2.
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Buy, $875->$800: Guggenheim lowered price target on Meta Platforms to reflect assumptions of higher investments on “relatively unproven projects”. However, it notes that the outlook for Meta’s 2026 operating trends “remains constructive”.
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Bill Ackman’s Pershing Square has taken a sizable stake in Meta, representing 10% of the fund’s portfolio
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Pershing Square revealed in its latest presentation that Meta Platforms now accounts for 10% of its portfolio, roughly $2 billion based on past disclosures.
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Pershing Square’s investment thesis centers on Meta’s strength in content recommendation algorithms and targeted advertising, along with the potential to unlock additional growth through wearables and AI-powered digital assistants for enterprises.
“We believe Meta’s current share price underappreciates the company’s long-term upside potential from AI and represents a deeply discounted valuation for one of the world’s greatest businesses,” it said in the presentation.
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Pershing Square tends to concentrate its portfolio on a small number of high-conviction bets, with only 13 different positions held at the end of 2025.
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Overweight, $849->$856: Wells Fargo analyst Ken Gawrelski said compute capacity is emerging as the critical determinant of success. He highlighted that AI-demand is expected to materially exceed supply in the near to medium-term. He sees hyperscaler capacity doubling to 98 gigawatts by 2027.
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Outperform, $900: Citizens Financial said Meta’s global usage time increased by about 17% YoY for the past seven months, including 17% YoY in February, while U.S. time spent rose by around 13% YoY. This compares with much slower MAU growth (Global +6% YoY, U.S. +2% YoY), suggesting existing users are spending more time on the platforms.