Meta Stock Up Big Through 2024, Will Earnings Help Or Hurt The Run?

Meta Platforms stock (NASDAQ: META) has delivered gains of 35% for holders through 2024 so far and with earnings due after the close on 31st July we take a look at the numbers.

Expected earnings per share (EPS) of $4.78 would represent a solid increase from the previous quarter ($4.71 actual against expected $4.36), but the big question is whether Meta can deliver another beat. Whilst revenue also beat last time around, the margin of the beat was significantly narrower ($36.46bn against $36.22bn). This time around, markets are expecting revenues of $38.31bn from the social giant.

Amid the dynamic financial landscape, the tech giant, known for connecting people through prominent social media channels like Facebook, Instagram, Messenger, and WhatsApp, is navigating a favourable analysts' outlook.

At the forefront of technological innovation and social connectivity, Meta Platforms' strategic position has inspired confidence among market watchers. Two analysts recommend selling the stock while two others suggest a hold strategy. The majority, however, comprising thirty-four analysts, advocate buying, and two go further to suggest a “Strong Buy”.

The consensus extends to the 12-month price target, which averages at a promising $538.95. This figure is particularly noteworthy when considering the stock's performance over the past year, which experienced a 52-week low of $274.38 and a peak at $542.81. At present, Meta Platforms boasts a market capitalisation of $1.18 trillion, supported by a P/E ratio of 26.75.

Investor returns are also on the agenda with the announcement of a quarterly dividend of $0.50 per share, paid this past June 26th. This move translates to an annualised dividend of $2.00 and a yield of 0.43%, showcasing Meta's commitment to shareholder value.

The collective sentiment towards Meta Platforms is one of optimism. Despite the ever-present risks and volatility associated with the tech sector, the “Moderate Buy” consensus, robust price target, and healthy dividend payout underscore confidence in Meta's ability to stay at the forefront of innovation and connective services.