Meta Platforms Inc - Class A
Exchange: NASDAQSector: Communication ServicesIndustry: Internet Content & Information
Facebook, Inc. (Facebook) is engaged in building products to create utility for users, developers, and advertisers. People use Facebook to stay connected with their friends and family, to discover what is going on in the world around them, and to share and express what matters to them to the people they care about. Developers can use the Facebook Platform to build applications and Websites that integrate with Facebook to reach its global network of users and to build personalized and social products. Advertisers can engage with more than 900 million monthly active users (MAUs) on Facebook or subsets of its users based on information they have chosen to share with the Company, such as their age, location, gender, or interests. In September 2013, Mail.Ru Group Limited sold its remaining shares in Facebook Inc. Effective September 25, 2013, Facebook Inc acquired Mobile Technologies, a developer of online applications. In October 2013, Facebook Inc acquired Onavo Inc.
Did you know?
Capital expenditures increased by 87% from FY24 to FY25.
Current Price
$574.46
-0.82%GoodMoat Value
$880.65
53.3% undervaluedProfile
Valuation (TTM)
Market Cap$1.45T
P/E23.95
EV$1.52T
P/B6.67
Shares Out2.52B
P/Sales7.20
Revenue$200.97B
EV/EBITDA13.87
Meta Platforms Inc - Class A (META) Stock Analysis
GoodMoat Analysis
Meta Platforms demonstrates a very strong competitive moat and high business quality, meeting the framework's criteria for further analysis. The current valuation appears favourable relative to the platform's estimated intrinsic value, suggesting a meaningful margin of safety.
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Meta Platforms operates the world's largest social network ecosystem, including Facebook, Instagram, WhatsApp, and Reality Labs. Its business model centers on digital advertising, monetizing its massive global user base. Applying the GoodMoat framework, Meta exhibits a high-scoring moat, likely meeting multiple criteria including powerful network effects from its billions of users, proprietary data assets from user engagement, and a strong brand. The company also scores highly on quality indicators, with an operating margin of 41.4%, ROE of 27.8% (exceeding the 15-20% threshold), robust revenue growth of 23.8% YoY, and a solid balance sheet with a Debt/Equity ratio of 0.39. This combination suggests a business that passes the Moat & Quality Gate for further valuation analysis. The valuation assessment is favourable. With a P/E of 24.8 and a GoodMoat target price of $880.65, the current price of $585.56 implies a margin of safety of approximately 33%, which falls into the 'Favourable' band (20-40%) of the framework's Decision Framework. This indicates the stock is priced below its estimated intrinsic value. For a value investor, Meta presents a compelling case for deeper investigation as a high-quality business trading at an attractive price. Analysis based on data as of 2024-05-15.
Market Cap$1.45T
Current Price$574.46
P/E Ratio23.95
Forward P/E—
PEG Ratio2.53
EPS$23.49
Book Value$86.19
P/B Ratio6.67
META Financial Charts
FCF vs CAPEX
FCFCAPEX
Forward estimates use 13.8% FCF growth (CAGR)
Cash vs Debt
Net Debt: 48.0B
Revenue
70.7B
FY19
86.0B
FY20
117.9B
FY21
116.6B
FY22
134.9B
FY23
164.5B
FY24
201.0B
FY25
Net Income
18.5B
FY19
29.1B
FY20
39.4B
FY21
23.2B
FY22
39.1B
FY23
62.4B
FY24
60.5B
FY25
META 52-Week Range
$483.17
$788.16
50-Day MA: $639.24200-Day MA: $683.99
Did you know?
Net income compounded at 21.8% annually over 6 years.
Meta Platforms Inc - Class A (META) Financial Summary
Meta Platforms Inc - Class A (META) is a Communication Services company in the Internet Content & Information industry, listed on NASDAQ. The stock currently trades at $574.46 with a market capitalization of $1.45T.
Key valuation metrics include a P/E ratio of 23.95, price-to-book ratio of 6.67, and EPS of $23.49. The company reports a profit margin of 30.1% and return on equity of 27.8%.
META Key Financial Metrics
| Metric | Value |
|---|---|
| Market Cap | $1.45T |
| P/E Ratio | 23.95 |
| EPS | $23.49 |
| P/B Ratio | 6.67 |
| P/S Ratio | 7.20 |
| EV/EBITDA | 13.87 |
| Dividend Yield | 0.37% |
| Profit Margin | 30.1% |
| Return on Equity | 27.8% |
| Debt/Equity | 0.39 |
META Revenue & Earnings History
| Year | Revenue | Net Income |
|---|---|---|
| FY19 | $70.70B | $18.48B |
| FY20 | $85.97B | $29.15B |
| FY21 | $117.93B | $39.37B |
| FY22 | $116.61B | $23.20B |
| FY23 | $134.90B | $39.10B |
| FY24 | $164.50B | $62.36B |
| FY25 | $200.97B | $60.46B |
Meta Platforms Inc - Class A (META) Valuation
Based on GoodMoat's DCF model, Meta Platforms Inc - Class A has a fair value estimate of $880.65. At the current price of $574.46, the stock appears 34.8% undervalued relative to our intrinsic value estimate.
META Quality Indicators
Meta Platforms Inc - Class A maintains a profit margin of 30.1% and an operating margin of 41.4%. Return on equity stands at 27.8%. The current ratio is 2.60. Debt-to-equity ratio is 0.39.
About Meta Platforms Inc - Class A
Facebook, Inc. (Facebook) is engaged in building products to create utility for users, developers, and advertisers. People use Facebook to stay connected with their friends and family, to discover what is going on in the world around them, and to share and express what matters to them to the people they care about. Developers can use the Facebook Platform to build applications and Websites that integrate with Facebook to reach its global network of users and to build personalized and social products. Advertisers can engage with more than 900 million monthly active users (MAUs) on Facebook or subsets of its users based on information they have chosen to share with the Company, such as their age, location, gender, or interests. In September 2013, Mail.Ru Group Limited sold its remaining shares in Facebook Inc. Effective September 25, 2013, Facebook Inc acquired Mobile Technologies, a developer of online applications. In October 2013, Facebook Inc acquired Onavo Inc.
META Free Cash Flow
Meta Platforms Inc - Class A generated $46.11B in trailing twelve-month free cash flow, representing an FCF yield of 3.18%. This moderate FCF yield indicates reasonable cash generation.
META Shares Outstanding
Meta Platforms Inc - Class A has 2.52 billion shares outstanding at a share price of $574.46, giving it a market capitalization of $1.45T.
META Recent Insider Trades
Recent insider transactions at Meta Platforms Inc - Class A include:
| Insider | Type | Shares | Value |
|---|---|---|---|
| Olivan Javier (Chief Operating Officer) | SELL | 926 | $560581.88 |
| KIMMITT ROBERT M | SELL | 580 | $366571.60 |
| Olivan Javier (Chief Operating Officer) | SELL | 926 | $585250.52 |