Stock of the Day

July 11, 2025

Meta Platforms (META)

$719.43
-$7.81 (-1.1%)
Market Cap: $1.81T

About Meta Platforms

Meta Platforms, Inc. engages in the development of products that enable people to connect and share with friends and family through mobile devices, personal computers, virtual reality headsets, and wearables worldwide. It operates in two segments, Family of Apps and Reality Labs. The Family of Apps segment offers Facebook, which enables people to share, discuss, discover, and connect with interests; Instagram, a community for sharing photos, videos, and private messages, as well as feed, stories, reels, video, live, and shops; Messenger, a messaging application for people to connect with friends, family, communities, and businesses across platforms and devices through text, audio, and video calls; and WhatsApp, a messaging application that is used by people and businesses to communicate and transact privately. The Reality Labs segment provides augmented and virtual reality related products comprising consumer hardware, software, and content that help people feel connected, anytime, and anywhere. The company was formerly known as Facebook, Inc. and changed its name to Meta Platforms, Inc. in October 2021. The company was incorporated in 2004 and is headquartered in Menlo Park, California

Meta Platforms Bull Case

Here are some ways that investors could benefit from investing in Meta Platforms, Inc.:

  • Meta Platforms, Inc. has a strong market presence with its Family of Apps, including Facebook and Instagram, which continue to attract a large user base and generate significant advertising revenue.
  • The company has a low payout ratio of 8.19%, indicating that it retains a large portion of its earnings for reinvestment, which could lead to future growth and increased shareholder value.
  • Recent analyst upgrades have set a consensus price target of $727.95, suggesting potential for stock appreciation based on positive market sentiment and growth expectations.
  • Meta Platforms, Inc. is actively investing in augmented and virtual reality through its Reality Labs segment, positioning itself at the forefront of emerging technologies that could redefine social interaction and commerce.
  • Institutional investors hold 79.91% of the company's stock, reflecting strong confidence from large financial entities in Meta Platforms, Inc.'s long-term prospects.

Meta Platforms Bear Case

Investors should be bearish about investing in Meta Platforms, Inc. for these reasons:

  • Despite its strong market position, Meta Platforms, Inc. faces increasing competition from other social media platforms, which could impact its user growth and advertising revenue.
  • The company has experienced fluctuations in stock price, which can create volatility and uncertainty for investors, particularly in a rapidly changing tech landscape.
  • Regulatory scrutiny and potential legal challenges related to privacy and data usage could pose risks to Meta Platforms, Inc.'s operations and profitability.
  • Recent price target reductions by some analysts indicate a cautious outlook, with concerns about the sustainability of growth in a competitive market.
  • Investors may be wary of the company's heavy reliance on advertising revenue, which can be affected by economic downturns and changes in consumer behavior.

3 Upgraded Stocks to Load Up on Before Earnings

Written By Thomas Hughes on 7/8/2025

Financial growth arrows graph. Investment and trading concept. — Photo

MarketBeat’s screen for Most Upgraded Stocks is a never-ending source of good ideas. Stocks on the list today are receiving upgrades due to their results, turnaround efforts, and outlooks, which include growth, profits, and capital returns.

The only questions that need to be answered are which ones fit the portfolio, and how high their share prices may go. 

Meta Platforms' Superintelligent Strategy

Meta Platforms' (NASDAQ: META) success story continues to unfold, now featuring a robust push into AI. Already using AI to drive revenue growth and internal efficiency, the company created a “superintelligence” division and is poaching staff from companies like Apple and OpenAI to run it.

The goal is to develop cutting-edge artificial intelligence technology, encompassing models, software applications, and hardware. Regarding the analysts, they are raising their price targets and sentiment ratings because of it, setting the market up for new highs.

Meta is the second-most upgraded stock at the end of Q2, and the trends are strong, including increasing coverage, firming sentiment, and an increasing price target. The price target lags behind the price action in early Q3 but provides robust market support, having risen more than 40% in the first half of the year, and recent revisions are leading to the high end of the range.

That puts META stock near $900, sufficient for new all-time highs and a 25% gain from early July trading levels. 

The technical signals are more robust. The Q2 price action featured a significant price rebound, confirming the uptrend and setting a new all-time high. A move to new highs opens the door to another sustained rally with the potential to advance an amount equal to the rebound in place.

That puts this market near $950 and potentially heading higher. Meta’s AI push costs money but also generates ample cash flow, allowing it to pay dividends, increase its distribution, and buy back shares.

META stock chart

Dollar General Price Reversal Advances on Turnaround Results

Dollar General’s (NYSE: DG) 2025 is highlighted by the positive impact of its turnaround efforts and rationalization strategy. The company is in the process of accelerating its strategy, and analysts are responding favorably to the news. The trends in Q2 include increased coverage, a firmer sentiment, and positive price target revisions that confirm the sentiment shift that began earlier in the year.

The takeaway is that Dollar General’s analyst sentiment is firming to Moderate Buy from Hold, and the price target revisions are leading the market in its reversal.

Dollar General is set to report Q2 earnings in early September and will likely provide another catalyst for the market. Analysts forecast another mid-single-digit revenue growth offset by margin weakness, and are underestimating the company in both regards.

Leaning into digitization and easier-to-use stores is a recipe for unlocking store traffic, revenue, and margin. Investors should expect the company to outperform the consensus forecast and provide another substantial guidance improvement. 

Wingstop Focuses on Unit Growth, Can Fly Higher 

Wingstop (NASDAQ: WING) faces a headwind in 2025 that is impacting comparable store sales. However, unit growth and the lean into international markets are sustaining the growth outlook while building leverage for when macroeconomic headwinds reverse. The analysts’ response is to upgrade the stock and increase price targets, positioning it to reach a new all-time high by year’s end. 

The H1 analysts' activity includes a 25% increase in coverage, solid coverage of nearly 25 analysts, a firming rating pegged at Moderate Buy, and a rising price target. The consensus in early Q3 forecasts a 10% upside for this stock; the high-end range puts it at a new all-time high, representing a more than 30% gain when reached. 

Wingstop’s stock price rebound is also supported by its capital return program. The company pays a token distribution yielding less than 0.5% but compounds it with aggressive share buybacks. The buybacks in Q1 reduced the count sequentially and compared to the previous year and are expected to continue at a robust pace for the foreseeable future. 

Wingstop stock chart

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