Meta Platforms (NASDAQ: META) closed higher for the 20th straight session on Friday, marking its longest winning streak ever.
The stock has climbed 21% over the past four weeks, bringing its year-to-date gains to 24.4% and its 12-month increase to 55%. On Friday alone, the stock rose 1.1%.
Why Is Meta Stock Rising?
Investors are betting big on Meta’s AI push. In mid-January, CEO Mark Zuckerberg announced that the company plans to invest up to $65 billion in AI this year, calling 2025 “a defining year for AI.”
In a new development, a company memo released on Friday revealed that Meta is working on AI-powered humanoid robots, with a newly formed team within the Reality Labs hardware division leading the effort.
Meta Platforms (NASDAQ: META) released its fourth-quarter earnings report on January 29th, highlighting robust performance and AI-focused strategy. The company reported a 21% increase in revenue, reaching $48.39 billion, while earnings per share (EPS) surged 50% to $8.02.
Wall Street Is Bullish on Meta
Following the strong earnings report and Meta’s continued stock surge, multiple analysts have raised their price targets, reinforcing confidence in the company’s long-term growth potential.
Tigress Financial Partners analyst Ivan Feinseth raised his price target on Meta to $935 while maintaining a Strong Buy rating. The analyst cited the company’s “tremendous AI-driven opportunities focus on personalized AI-driven functionality across its platform of apps that drive increasing user engagement, better content, and a more effective advertising experience.”
UBS analyst Stephen Ju also raised his price target on Meta to $786, reiterating a Buy rating. Ju pointed out that Meta’s operating expense and Q1 2025 revenue guidance position the company to outperform earnings expectations throughout the year. He believes Meta’s AI investments will continue driving revenue growth and improving its profitability.
