Meta earnings: What to expect from the social-networking company

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Meta to announce results Wednesday

Facebook parent Meta Platforms Inc. continues to chug along while reshaping the business and girding for a showdown with Apple Inc. in the fledgling mixed-reality field.

The social-networking giant, which is transitioning into AI and the metaverse, is scheduled to report fiscal third-quarter earnings Wednesday afternoon after markets closed. Analysts expect Meta META, -0.46% to rack up ad sales amid a bounce-back in that market for it and Alphabet Inc.’s GOOGL, +1.69% GOOG, +1.61% Google.What to expect Earnings: Analysts tracked by FactSet project Meta to report $3.64 a share in earnings, up from $1.64 a share a year before.

Revenue: The FactSet consensus calls for $33.6 billion in revenue, up from $27.7 billion the previous year. Those contributing to Estimize expect $33.6 billion in revenue. Stock movement: Meta’s stock has rebounded sharply the past 12 months, soaring 143% from a low point of $120.34 a share on Sept. 30, 2022.Of the 57 analysts tracked by FactSet who cover Meta’s stock, 44 have buy ratings, six have hold ratings, and just one says to sell, with an average price target of $368.40.

What else to watch for “Meta’s advertising is proving more and more effective, and they’ve done a good job of reducing costs. But to me, the expectations are a bit inflated — they may hit them, but I don’t see them blowing past them like they did last quarter,” Bryan Karas, chief executive of Playbook Media, a performance-marketing and creative agency, said in an email message.

 

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