Should I Buy Meta (META)? Finance YouTuber Analysis

The analyst reiterates Meta as a top buy, citing new AI initiatives like renting computing power and offering competitive AI model pricing, which are expected to boost revenue and cash flow. Despite recent price appreciation, the stock remains undervalued with a forward P/E of 20 and a discounted cash flow fair value of $913, significantly above the current price.

“I still think this stock could move significantly higher from here. So, today, I am reiterating that top stock rating, and my conviction level on this rating is is high.”

The analyst recommends buying Meta Platforms, highlighting its low debt-to-asset ratio of 22% and its ability to borrow at a cost significantly lower than its cost of equity. He believes Meta can strategically increase its debt to fund AI investments or stock buybacks, thereby lowering its weighted average cost of capital and enhancing shareholder value.

“I'm encouraging the management team of these four companies to go ahead and borrow more money as long as they can borrow money at these attractive interest rates. Continue borrowing money. Invest in AI if you think that's lucrative, but if it's not, then use the capital to buy back stock.”

The analyst believes Meta Platforms is the best stock to buy due to accelerating revenue growth driven by AI investments, which also enhance user experience and advertiser ROI. He notes the company's scale allows it to outspend competitors on AI, creating a significant competitive advantage. Despite concerns about rising component costs and increasing debt, the valuation is attractive, with a calculated fair value of $871 compared to the current market price of $561.

“I think Meta Platforms is the best stock investors can buy right now. I calculated a fair value for this stock at $871, and I see a realistic path for the share price to hit that target over the next 12 to 18 months.”

The analyst believes Meta Platforms is the best stock to buy right now, increasing his fair value estimate to $905 per share. This is due to the company's announcement to rent out excess computing capacity, which will generate new revenue and cash flow from existing assets. Additionally, this move signals a potential peak in capital expenditure for data centers, which could significantly improve free cash flow sooner than previously expected, as CapEx has been uncomfortably high.

“I increased my fair value estimate. I now think this business is worth $905 per share. I think it's the best stock you can buy right now.”

The analyst is bullish on Meta Platforms due to its reinvigorated revenue growth, particularly a 33% increase in the latest quarter, which he attributes to early returns from AI investments. He notes the company's effective use of AI to enhance customer value and advertising, and sees the stock as undervalued with a fair value of $872 against a current price of $563.

“Meta is demonstrating strong early returns. Average revenue per user, the number of advertisements shown, all are indications that the company's utilizing artificial intelligence to enhance the customer value proposition.”

Meta Platforms is identified as the most undervalued Magnificent Seven stock, with a fair value of $857 against a market price of $555. It boasts accelerating revenue growth (over 30%) driven by AI integration improving user engagement and advertiser ROI, and trades at the lowest forward P/E of 17.2 among its peers.

“Meta is the most undervalued out of all of the Magnificent Seven stocks I evaluated whether we measured on the discounted cash flow or whether we looked at the forward price to earnings ratio which I shared with the earlier Meta is trading at the cheapest compared to the rest of the Mac Seven.”

The analyst believes Meta is attractively valued, trading at a lower price-to-cash-flow (KCV) multiple than its 10-year average and significantly cheaper than Alphabet, despite strong growth in its core advertising business. The potential entry into the hyperscaler business, mirroring Alphabet's model, could unlock significant upside by monetizing its substantial data center investments, which are currently a drag on free cash flow.

“Meta an sich immer noch das ist meine Meinung attraktiv bewertet aber es gibt natürlich das Risiko bezüglich des Hyper Scalers. Wollen sie da wirklich tätig werden? Falls jetzt dann doch die Meldung gehen, wenn sie machen es doch nicht, da würde die Aktie wieder abverkauft werden. K die Meldung, ja, sie machen es. Dann wird den Investoren wahrscheinlich hat man das Risiko bewusst, dass es ähm auch betriebswirtschaftlich gesehen nicht ganz so erfolgreich werden kann wie die Konkurrenz.”

The YouTuber bought Meta (Facebook) twice, citing Alphabet's recent positive advertising results as a good sign for the ad business. He notes Meta's P/E ratio has come down from 30 to 20, making it more appealing.

“war hat mir hier ein 30er KGV dann hier mal auf 20 und dann habe ich mir die ins Depot gelegt zweimal sogar einmal am 10.4, also hier habe ich einmal gekauft, 25 Stück und einmal am 16.4. hier auch noch mal gekauft jeweils 25 Stück.”

The YouTuber suggests buying Meta if its price drops to around $470, noting its relatively cheap valuation compared to consumer goods giants and its strong double-digit growth rates. He believes its business model, focused on digital services and advertising through its family of apps, is less directly exposed to the current trade conflicts than other tech giants.

“Ich würde sukzessive nachkaufen und der faire Wert liege irgendwo bei um die 470$.”

The analyst views Meta's core advertising business, driven by its family of apps (Facebook, Instagram, WhatsApp), as very solid with significant growth potential, despite ongoing investments in Reality Labs. However, the stock is currently overvalued, with a fair value of $400 compared to its current price of $477, leading to a low projected annual return of 3.1%. The recommendation is to wait for a pullback to around $400 for a more attractive entry point.

“also hier bei Meter gegebenenfalls auf den Rücksetzer warten man sieht hier vor kurzem gab's auch schon mal so ein Rücksetzer da ist die Aktie bis auf 430 USDollar hier sehen wir es noch ein bisschen genauer sogar bis auf ja doch 430 USDollar runter gekommen mal gucken wie weit sie jetzt runtergeht immer hier ich habe hier auch ein kaufl mitgesetzt guck mal genau 400 USDollar na kein Zufall das kann kein Zufall sein”

The analyst recommends avoiding Meta stock at its current all-time high, despite recent strong earnings and a new dividend. He argues that the stock is no longer a bargain, especially considering the significant losses from the Reality Labs (metaverse) division and the market's overly optimistic sentiment, which he likens to wearing 'rose-tinted virtual reality glasses.' He believes the risk-reward is unfavorable for new entry.

“damals als ich das Video gemacht habe war ich noch anderer Meinung jetzt würde ich persönlich die Hände von der metaaktie lassen”

Meta is viewed as undervalued compared to its historical average and peers, with a relatively low P/E ratio. The company has shown strong performance and improved operating margins due to cost-cutting measures. The analyst projects an annual return potential of 13%, with future growth tied to metaverse development and WhatsApp monetization.

“Meta sehr deutlich unterbewertet war und wie es schon ang gezit habe nur weil eine Aktie stark gestien ist heißt nicht dass die jetzt exorbitant teuer sei.”

The analyst suggests buying Meta as a more reliable alternative to smaller, high-growth stocks. Meta exhibits strong fundamentals, consistent revenue and earnings growth, and a more reasonable valuation compared to Trade Desk. It offers a lower-risk profile with solid long-term potential, despite its business model shift towards the metaverse.

“ich würde jetzt erstmal mich zwingen nur eine aktie kaufen da würde ich entweder alphabet oder meter holen aber nicht traders”

The YouTuber considers Meta one of the best businesses in the world, trading below 20 times forward earnings, which is less than the S&P 500. He argues that the Magnificent 7, including Meta, are projected to grow earnings twice as fast as the S&P 500 while trading at similar price multiples, suggesting they are undervalued.

“Meta and Microsoft specifically still trade below 20 times forward earnings, which is below the S&P 500. And I believe that they are some of the best businesses in the world.”

The YouTuber is actively buying Meta, believing its current low valuation (18x forward earnings, 11.8x operating cash flow) already prices in risks like low employee morale and legal battles. He argues that Meta is a high-quality business with a strong moat and vast resources, and its underlying fundamentals are growing and accelerating despite negative sentiment. He expects multiple expansion if sentiment improves, alongside continued fundamental growth.

“I think the negative sentiment and risks are actually priced into Meta stock already. And that's why I think that it is looking cheap and also why I am continuing to buy it because from here if sentiment improves then I think we will get multiple expansion at the same time as the underlying fundamentals will continue to grow.”

The YouTuber agrees with Bill Ackman that Meta is ridiculously cheap, trading at 18.8x forward earnings, similar to its 2020 crash valuation, despite accelerating revenue growth. He highlights a price to operating cash flow of 12x, below historical averages, and a DCF analysis suggesting an 18.6% CAGR over the next 3 years with a fair value of $732.

“I agree with Bill Aman that Meta stock is looking ridiculously cheap in the market today.”

The YouTuber continues to buy Meta (META) due to its perceived undervaluation and new monetization opportunities. He highlights the rollout of Meta Business Agents, an AI-powered tool for businesses on WhatsApp, Messenger, and Instagram, which is expected to become a significant, high-margin, recurring revenue stream. He argues that Meta's massive user base and distribution position it to win in the AI world, and even with conservative DCF assumptions (15% operating cash flow growth, 13x price to operating cash flow), the stock shows strong upside potential.

“I have continued to buy more shares of Meta on a consistent basis in the market because I think that this stock is also truly undervalued in the market today.”

The YouTuber is buying Meta shares, believing the stock is undervalued. He highlights Meta's new subscription plans for Instagram, Facebook, and WhatsApp, which could generate billions in annual recurring revenue and diversify its business beyond advertising. He also notes the strong growth in business AI conversations and the potential for multiple expansion as Meta's internal capex spend yields high ROI, making its advertising business more efficient.

“And ultimately I think that the stock is undervalued and looking cheap today. So those are the new updates that I have to share on Meta after their subscription announcement and after their AGM and also why I am continuing to buy Meta actively in the market and I even purchased some more shares today.”

The YouTuber identifies Meta as a potential buying opportunity, believing it to be one of many stocks with strong fundamentals that have been 'left behind' by the market's focus on AI and semiconductors. He suggests that despite the S&P 500 being at all-time highs, there is significant value in such overlooked companies.

“Just take a look at Skyward. Take a look at BAM. Take a look at Mastercard Visa Microsoft even Nvidia. Arguably, Marcato, Libre, New Bank, Meta, Brookfield Corporation, KKR, Apollo.”

The YouTuber believes Meta is undervalued after its Q1 earnings sell-off, arguing the market is overreacting to increased capex and short-term margin compression. Meta is showing strong top-line acceleration and gaining market share in digital advertising, suggesting its investments are paying off. The stock is trading below its historical average forward P/E and price-to-operating cash flow, making it an attractive long-term buy.

“In my opinion, Meta is one of the highest quality businesses in the entire world and it's now trading for below a 20 forward price to earnings ratio at the same time as the top line is projected to continue growing by over 20% annually.”

The YouTuber is buying Meta shares due to strong Q1 2026 earnings, including 33% revenue growth and 30% operating income growth, despite increased capex and a one-time tax benefit. He believes the core advertising business is accelerating, taking market share, and is undervalued based on his conservative discounted cash flow (DCF) analysis, which projects a 17% compounded annual growth rate.

“I think that it is a very highquality business that's accelerating and offering a discount in the market today. So yes, I have nibbled on some more shares and increased my position to Meta while the stock is down.”

The YouTuber believes Meta is still undervalued and a strong buy, despite recent price appreciation. He emphasizes Mark Zuckerberg's vision for AI transforming Meta's advertising platform into an 'ultimate business results machine' and the future monetization of WhatsApp through AI agents for customer service and sales. He argues Meta's vast consumer data combined with generative AI capabilities will expand its moat and attract more ad spending.

“In my opinion, just personally, I do believe that Meta is still undervalued here. And that's really what it comes down to. I think it's a fantastic business. I think it's going to produce a market beating return going forward.”

The YouTuber is adding to his Meta position, viewing it as a clear beneficiary of artificial intelligence due to its vast distribution network (3.5 billion daily active users) and proprietary data. He notes accelerating revenue growth and market share gains in advertising, with analysts projecting significant future growth. Even a pessimistic DCF indicates a market-beating return.

“I simply think that Meta is one of the clearest beneficiaries of artificial intelligence.”

The YouTuber is bullish on Meta, arguing that its heavy investments in AI make complete sense and will yield strong ROI. He highlights Meta's ability to generate video ads for customers, test them in real-time, and optimize for ROI, effectively lowering the barrier for video creation and expanding its moat as an advertiser. Meta's data and distribution give it a significant advantage in content creation coupled with ad automation.

“I've said this many times, but Meta is actually one of the companies where heavy investments in AI make complete sense and will result in strong ROI.”

The YouTuber is actively buying Meta, believing the recent 15% correction is unwarranted given strong Q4 results and an accelerating revenue outlook (30% YoY growth expected in Q1). He highlights Meta's growing operating cash flows, successful AI investments (e.g., Instagram Reels engagement, Rayban Meta glasses sales), and potential for AI-driven content creation for advertisers. A DCF analysis suggests an 18% CAGR over 5 years with conservative growth estimates.

“So Meta is a stock that I am continuing to add to my portfolio and I'm trying to buy this one as consistently as I possibly can.”

The YouTuber bought more Meta shares after its Q4 2025 earnings report, citing strong revenue growth (24% year-over-year, 30% projected for Q1 2026) and accelerating operating cash flow (up 28%). He believes the stock is still undervalued, trading at a price-to-operating cash flow multiple of around 16x, which is in line with its historical median, despite accelerating fundamentals. A DCF analysis suggests a fair value of $837 to $1100 per share.

“I also think the stock is still not looking expensive today even with that 9% boost in after hours trading and that is the main reason why I nibbled on some more shares right after they reported earnings and I saw that the stock was down.”

The YouTuber is initiating a new position in Meta, viewing its recent sell-off after strong earnings as an attractive entry point. He notes Meta's accelerating revenue growth (26% in Q3), strong operating cash flows, and Mark Zuckerberg's commitment to significant capex in AI, which is already showing positive returns through improved ad conversion and user engagement. He believes the stock is undervalued based on its price-to-operating cash flow multiple compared to historical averages and a DCF analysis.

“But after seeing it continue to fall below $600 per share, it's at the point now where I'm like, 'All right, I think the risk-reward here on Meta is pretty impressive when they're seeing accelerated revenue growth.'”

Despite Meta's strong earnings and reasonable price-to-operating-cash-flow ratio of 18.4, the YouTuber is avoiding the stock due to expected margin compression from accelerating costs over the next 18 months. He also admits the company is outside his circle of competence and he sees greater risk/reward in international markets.

“If Meta is not looking expensive today, then the question is why am I not a buyer? And I wrote down some notes here. So the first one is that I think investors should be aware as I said earlier on in the video that costs are expected to grow faster than revenue over the next about 18 months.”

The YouTuber believes Meta is undervalued, trading below its historical average price-to-operating cash flow ratio (14.7x vs 16.7x). He projects 10% annual operating cash flow growth and 3% share buybacks, which could lead to a 14% compounded annual growth rate. Despite increased capex guidance, the business shows strong revenue growth and expanding profit margins.

“Therefore my conclusion is that Meta Stock is looking potentially undervalued in the stock market today if it can actually hit these growth rates in the DCF right here.”

The YouTuber believes Meta is a high-quality business with strong core advertising revenue and significant growth potential from its AI investments and new cloud business. Despite high capital expenditures spooking investors, the company has strong margins, low net debt relative to free cash flow, and is trading at a reasonable valuation. He is willing to buy if the price drops to around $550, which is his calculated low intrinsic value.

“The stock right now, as I make this video, is about $582. It's trading about 21 times forward earnings, which might feel a little expensive. So, what you've got here is one of the most profitable businesses in the world, spending huge to build the future, adding in brand new revenue stream, and the market is still trying to figure out what it's worth.”

The YouTuber's analysis suggests Meta is a quality business with high returns on capital and strong revenue/profit growth, despite significant AI investments. Their stock analyzer tool indicates a fair value range that makes the current price a promising entry point, aligning with the community's 'buy' rating.

“So based on my middle assumptions, if they all came out to be true, I'd be looking at 15% discounted cash flow return.”

The YouTuber identifies Meta as a potential buy if it reaches his target price of $535, based on his 15% return requirement. He plans to sell cash-secured puts at this strike price, indicating a willingness to acquire the stock at a discount while earning premium income.

“I'm actually going to go sell puts on Microsoft and Meta at these prices.”

The YouTuber is bullish on Meta, highlighting its massive user base (3.5 billion daily users) and strong revenue growth driven by increasing ad volume and prices. He acknowledges concerns about high AI spending but argues that AI is already enhancing ad effectiveness, leading to increased sales for businesses. His valuation model suggests a middle intrinsic value of $900-$930, implying a 14% annual return, and he is actively writing puts to acquire shares at a lower price.

“I have a low price of 580 to 600, high price of 1480 to 1500, middle price of 900 to 930, which based on my middle assumptions is about a 14% return.”

The YouTuber identifies Meta as the only genuine opportunity among the Magnificent 7, citing its massive user base across Facebook, Instagram, and WhatsApp, strong advertising revenue potential, and impressive financial turnaround after cost-cutting. His DCF analysis projects a 16% annual return, making it a high-conviction buy, and he plans to continue selling puts to acquire shares.

“The only stock in the Magnificent 7 that based on my assumption still looks at a genuine opportunity based on my desired return.”

The YouTuber believes Meta is extremely undervalued, citing its new Muse image and video AI models as a significant monetization opportunity due to its vast user base on Instagram and Facebook. He argues that even a small percentage of users paying for AI-powered features could generate billions in high-margin revenue, which the market is currently underestimating. He also points to Meta's substantial AI capex buildout as a strategic hedge that will eventually pay off, leading to a sentiment flip and significant stock appreciation.

“To me, Meta is extremely undervalued. Should be worth $800 or more already today.”

The YouTuber considers Meta a 'no-brainer' buy, trading at a forward P/E of around 17x, which he believes is cheap given its expected revenue growth. He highlights reports suggesting accelerating capex in 2027 and potential for a highly competitive AI model release, which could significantly change market sentiment and lead to a re-rating of the stock.

“Meta again to me is one of those no-brainers in the market right now and and as we've seen this week, headlines can change the sentiment quite quickly around the name.”

The YouTuber believes Meta is still extremely undervalued despite its recent price increase, citing a DCF analysis showing significant upside potential. He highlights the market's positive reaction to Meta's reported entry into selling AI computing power, which could boost revenue and sentiment, and emphasizes the strength of Meta's core business driven by AI investments.

“I still believe that this is a nobrainer buy in the market right now. We'll look at the DCF in a bit. You'll see nothing much has changed. It's still extremely undervalued across the board over the past 12 months.”

The YouTuber believes Meta is significantly undervalued, with a base case suggesting a 59% upside. Despite high CapEx spending and market sentiment issues related to the Metaverse trauma and lack of a dedicated cloud service, the core advertising business is extremely profitable and benefiting from AI investments. The company's immense distribution network allows it to experiment with new ventures, which could unlock significant future growth.

“I don't think that Meta is going away anytime soon. I think Meta is going to be growing quite a lot over the next couple of years. The business is going to be more and more profitable because yes, at one point, at one point, they are going to slow down the CapEx spend and you're going to see that free cash flow margin spike back up.”

The YouTuber views Meta as very cheap below $600 and has been adding to his position. He notes that while it's currently in 'no man's land' technically, a rebound could occur after the next earnings report, and the 200-weekly moving average at $462 represents an 'ultimate bottom' for aggressive buying.

“Meta I've been adding cuz it's cheap, but you could make the point that okay, this is maybe trying to catch a falling live maybe. So, but for me, Meta is very cheap under $600.”

The YouTuber believes Meta is an obvious buy despite current negative headlines pushing the stock down. He highlights strong revenue and EPS growth, increasing average revenue per user, and a current valuation (PE 20.6x, forward 16.4x) that is lower than its 5-year median. He compares it to Google's performance last year, suggesting similar upside.

“I do think that we can see the same thing with Meta maybe 12 months from today. And as you know, I have been buying more and more of Meta over the past couple of weeks and actually over the past month or so.”

The YouTuber added three shares to his Meta position, stating he believes the stock should be going closer to $1,000 per share over the next 12 months. He also generally believes Meta is trading at a very attractive valuation.

“And a 6.6% increase to Meta. So, another three shares there.”

The YouTuber considers Meta a 'no-brainer' below $600, arguing that its strong fundamentals (over $200 billion revenue, 30% growth, profitable core business) are overshadowed by narrative. He believes the company can monetize AI through subscription services and that its low forward P/E of 17x makes it an attractive investment.

“Meta to me again under $600 at $600 is a no-brainer because with Meta right now the story is more about narrative than what the actual company does.”

The YouTuber remains very bullish on Meta, despite recent headlines about potential dilution for AI investments causing a stock drop. He believes Meta is extremely undervalued and that diluting shares at current prices would be unwise, but acknowledges the company's strong AI potential.

“I am still very bullish on Meta. But more recently, there have been a couple of headlines that of course kicked the stock a little bit lower.”

The YouTuber believes Meta is still very cheap despite its size, with a valuation that doesn't make sense given its potential to monetize AI. He expects the market to eventually recognize this, leading to significant upside from current levels.

“Meta in my opinion at even at this size, it just I don't know, valuation just doesn't make any sense to me. We've talked about that time and time again. So, I'm not going to repeat myself. I think it's going to happen sooner rather than later where the market is going to realize that oh, they actually can monetize AI in multiple ways.”

The YouTuber believes Meta's valuation around $600 is very attractive, especially given its strong progress in AI models like Muspark and its clear monetization strategy through B2B and B2C AI agents. They argue that once the market fully recognizes this, the stock could quickly surpass $800, with a potential price target of $930 within 12 months.

“I think Meta around $600. the valuation is just way too attractive to start looking at maybe some other more speculative names right now because I do feel that once the market figures this out once there is a flip we are going to go quite quickly over $800 maybe here can accord price target is $930 probably over the next 12 months”

The YouTuber believes Meta is undervalued, trading at a low 20s P/E despite strong revenue growth (close to 30%) and a core business that is performing well. He argues that the market is not fully recognizing Meta's investments in AI and its strong underlying business, expecting the stock to eventually be re-rated higher.

“To me it's just a matter of time until the market recognizes that what they are doing with Meta stock right now does not make any sense. a low 20 PE for this company over 20 what 14 billion dollars in revenue generated growing close to 30% it doesn't make much sense.”

The YouTuber expresses a desire to accumulate more shares of Meta if the price drops to around $600, viewing it as a great business available at a cheap valuation. He believes Meta is well-positioned because its LLM will enhance its core business and ecosystem, and it benefits from a large user base and distribution.

“if I can accumulate more shares of Meta at around $600 per share, $1.33 trillion, while we're getting into a SpaceX IPO, that's going to be closer to 2 trillion. While a lot of companies are trading at super high premium, super high multiples, you can get this great business for very cheap.”

The YouTuber believes Meta is extremely undervalued and expects it to reach closer to $1,000 per share within the next 12 months. This suggests a strong conviction in the company's future performance and current valuation.

“I still think Meta is extremely undervalued and I do think that over a past, that's again my opinion, over the next 12 months or so, we should be closer to $1,000 per share.”

The YouTuber believes Meta is undervalued, comparing it to Google in 2015, and highlights its fast growth despite being a cheap company. He argues that the market is underestimating Meta's internal AI investments and the potential for new subscription services to generate significant high-margin revenue, citing Snapchat's success with a similar model. He also suggests that Meta could eventually monetize its compute infrastructure, further boosting its value.

“I do think this is like Google in 2025. It's a cheap company that is growing fast.”

The YouTuber recommends Meta as a 'hyperscaler' that has already undergone a correction. Despite previously underperforming, Meta is now seen as an opportunity because it has already priced in AI spending fears. Hyperscalers have strong core businesses, are positioned for AI applications, and can cut costs, making them beneficiaries of the market's rotation away from chip suppliers.

“Meta's down. Google's down, Amazon's struggling. The pain's already happened. It's in the past.”

The analyst suggests that a significant drop in Meta's stock price, specifically if its P/E ratio falls to 10 due to continued high capital expenditures without immediate returns, would present a 'great opportunity' for purchase. This is based on the company's underlying profitability and network effect, similar to a previous buying opportunity in 2022.

“Perhaps in a disastrous scenario, it will go to a P ratio of 10 if Mark keeps on spending has happened. That would be a great opportunity.”

The analyst views Meta as fairly priced, offering an expected 9% long-term return based on an intrinsic value calculation of $542. While not stellar, it's considered a reasonable return for a diversified portfolio, especially given its strong network effect and profitability in advertising, despite significant AI infrastructure investments and potential risks from continuous capex.

“All in all, fairly priced for 9% return. If I change the nine there, we are at exactly a 9% return for Facebook. Not bad. Perhaps not stellar but not great.”

The speaker is not a believer in Meta's strategy, particularly its ventures into cloud services and the metaverse, viewing them as unfocused and a poor use of cash flow. They highlight the company's past missteps and question the rationale behind its new initiatives.

“I'm not a believer I'm not a believer it is that does that even make sense if you're a meta shareholder is that what you would want to see them investing in how is there excess compute I don't understand I thought all we hear about is shortage”

The YouTuber ranks Meta as the safest, citing its strong network effect moat in its traditional business and low-cost data collection. He believes its optionality is strong, particularly with the ability to pivot and sell extra cloud capacity, which he sees as underappreciated by the market. He considers the valuation fair to slightly cheap, with the main risk being unreturned AI spending.

“The fact of the matter is one, it's true that this has improved the engagement on Meta's different platforms, but two, we saw in the past when they burned a whole bunch of money on the metaverse, they could call it quits and rely on that cash generating machine of advertising to push them forward.”

The YouTuber is buying Meta due to its cheap valuation and strong core business. He believes the company has significant monetization levers yet to be pulled and is moving in the right direction with new ventures like Meta glasses, despite market narratives.

“use valuation as your guide and right now you're getting meta at really cheap prices and more importantly, they have a great core business.”

The YouTuber believes Meta is a great business and will be a major winner in the AI race, citing its cash-generating ability and untapped monetization levers. He notes it's cheaper now than a few months ago, making it an attractive buy despite its recent drop on the retail investor list.

“Great business. I absolutely believe it's going to be one of the big winners in the AI race. Uh the cash it just prints cash. They have so many different monetization levers that they haven't even pulled yet.”

The YouTuber highlights Meta's strong monetization pipeline, billions of users, and Zuckerberg's continued dedication to pushing the company forward. They believe Meta's business model is incredibly strong and that Zuckerberg's focus will drive future growth despite potential volatility.

“The monetization pipeline for Meta is long, and there's a ton of it that is still untapped. And remember, they have billions of users. More than half the world uses their products, and that is growing, which is astonishing given their levels there.”

The YouTuber is buying Meta because its core businesses are printing money and growing double digits, despite past metaverse investments. They believe management is now focusing on the right areas, including AI, and that the company is currently out of favor, offering a cheap valuation for a great stock.

“Great. It's out of favor right now. Please continue to beat this down so I can continue to add to a great stock like Meta at cheap valuations.”

The YouTuber sees Meta as a great company currently offering a discount due to recent price drops (around 25% from all-time highs). They believe the current pricing is reasonable, especially considering its future moves in AI.

“And right now, we're starting to get good pricing on Meta.”

The YouTuber recommends Meta as a buy, noting that it meets his four criteria for undervalued stocks: retail and Wall Street negativity, cheap valuation (though not as cheap as 2022), and strong, accelerating fundamentals (30%+ growth last quarter). He believes it could offer an 'easy money' opportunity similar to Google last year.

“The fundamentals look great. All four pillars line up for me. So that's why Meta is on my list.”

The YouTuber indicates that if Meta's stock price slips enough to become cheap again, he would consider accumulating shares. He views such dips as opportunities to buy what he considers 'easy money' in the long run, based on past performance.

“with Meta recently slipping again, it could get cheap enough for me to start gobbling up shares again that will print easy money in the end.”

The YouTuber identifies Meta as a strong long-term AI winner due to its vast amounts of personalized data, which provides a significant advantage in training AI models without needing to purchase external data. This data advantage is seen as crucial for developing effective AI solutions and maintaining a competitive edge.

“So when I look at like a meta, think about it. They have tons and tons of personalized data. That's the reason why their ads are the best in the business right there with Google.”

The YouTuber expresses strong bullish sentiment for Meta, hoping for another significant price drop to buy more shares. He believes the company's spending on future initiatives can be quickly monetized, leading to a rapid recovery in free cash flow and net income, making it a 'darling of Wall Street' again.

“I hope they price Meta for bankruptcy again. That would be incredible. Another once in a-lifetime opportunity. Yes, the fear will be high. Yes, everybody will say it's killing the company. Yes, everything else will be the same. Different narrative, but the outcome is exactly the same. Meta will reach that point. We're like, "All right, we'll quit spending here. We'll turn on all the other monetiz." And immediately you'll see free cash flow, net income, everything skyrocket through the roof.”

The YouTuber is bullish on Meta, stating it's a 'money-printing' business that will perform well regardless of economic conditions. He notes its current cheap valuation and expresses no concerns about its performance during a recession, making it a continuous buy on weakness.

“But any sort of weakness with this stock, it is always a buy for me whenever that valuation gets down to the cheap levels.”

The YouTuber sees Meta as undervalued compared to its growth prospects, especially when contrasted with companies like Walmart on a forward P/E basis. He anticipates a potential buying opportunity if the stock pulls back after earnings, similar to previous cycles, viewing any dip as a chance to add to a 'cash flow beast' with strong growth levers.

“if we follow the same exact pattern that we follow last time where they basically beat raise Guidance just to raise it up to what Wall Street wanted we may get an opportunity once again to buy those low 400s maybe even lower.”

The YouTuber views Meta as an 'absolute pump it stock' for both short and long-term investment. He added to his watch list and bought shares after a post-earnings dip, believing it was an opportune time to buy when the stock was beaten down.

“you guys know for me this is an absolute pumpit stock I love the stock both in the short term and in the long term that's why I threw it back on my watch list as a DCA there and of course I'll be interested to add more shares if Wall Street decides to get dumb again in the future”

The YouTuber is dollar-cost averaging into Meta due to its low P/E ratio compared to other Magnificent 7 stocks, despite high capex spending. He justifies the spending by Meta's need to serve AI to its 3.5 billion daily active users. Strong ad impression growth, increased ad prices, and revenue growth demonstrate the effectiveness of their aggressive investment.

“So, as the stock keeps dropping, I'll keep dollar cost averaging in to this global growth machine.”

The YouTuber indicates he would buy Meta Platforms if its forward P/E ratio drops further due to the influx of new IPOs. He points to Meta's strong revenue growth, high operating margins, and massive daily active user base across its apps. While acknowledging high capex for Reality Labs, he views this as essential investment in AI infrastructure, including custom chips, which the market currently undervalues.

“Meta Platforms trades at a forward price to earnings ratio of about 18. That could get even lower as these three blockbuster IPOs add even more downward pressure to the stock. And if it does, I'm jumping on it.”

The YouTuber views Meta as a great 10-year opportunity but advises against short-term expectations due to massive spending on infrastructure, which will negatively impact depreciation and EPS for several years. He suggests that short-term price movements are a 'complete gamble' until spending chills.

“Meta and Amazon are big positions for me. I don't expect anything from those stock prices over the next year. Nothing. I don't expect one percentage of gains and I even see a scenario where if the market got ugly, Meta goes into the 300s and Amazon goes under 200 if the market really got ugly.”

The YouTuber advises buying Meta and having patience, noting that its stock price is currently suppressed due to Zuckerberg's 'out of control spending spree.' He believes that if Wall Street better understands this spending or if spending is cut, the stock will 'blast higher' and could reach $1,200, given its strong revenue growth (33% last quarter) and a forward P/E under 20.

“Zuckerberg's on a complete out of control binge on spending. Okay, if Wall Street can begin to understand why he's spending this much or he cuts back on spending in future years, I mean, that stock's going to blast higher.”

The YouTuber advises against Meta pursuing an equity raise through shareholder dilution, despite holding the stock. He argues that Meta's current valuation (19x forward P/E) is too low, making dilution significantly more costly than for a company like Google. He also believes Meta investors are more sensitive to capital return concerns, which could negatively impact the stock price.

“I hope that they don't end up doing this for a couple of reasons. There's two different reasons why I support this with Google and I think it's a good strategy for them, but I don't with Meta.”

Henry believes Meta is undervalued because it's evolving beyond social media into a powerful AI advertising and consumer attention business. He points to strong revenue growth (33% YoY), expanding margins due to AI optimization, and its current PE ratio being in line with the S&P 500 despite higher growth rates.

“Meta Platforms is no longer just a social media company. It is becoming one of the most powerful AI advertising and consumer attention businesses on earth.”

The YouTuber is excited to own more Meta, having recently been assigned additional shares. He views Meta as an AI-powered advertising machine with strong revenue growth, expanding operating margins, and significant investment in AI. He notes its P/E ratio of 22 is lower than the S&P 500, making it an attractive long-term investment.

“I am actually excited to be a Meta shareholder. I think that Meta is becoming less of a social media company and more of an AI powered advertising machine.”

The YouTuber recently got assigned Meta shares at $625 and immediately sold a $630 covered call. He is comfortable letting the call expire in the money, as it would result in a profit from the assignment price, in addition to the premium collected from both the put and call options.

“in terms of managing this covered call, really, I'm in good shape because even if it goes into the money, I'm not going to um close this or roll this.”

The YouTuber advises caution on Meta in the short term, despite acknowledging it as a fantastic company. He sees some short-term weakness in the stock, suggesting it's not an ideal time to buy.

“same thing with meta I think that this is a fantastic company but in the short term I see some weakness in the stock so I would be careful with those two stocks”

The YouTuber suggests Meta Platforms as a buy, noting its 23% pullback from recent highs despite strong underlying business performance, including 33% revenue growth and expanding operating margins. He attributes this to Meta's successful rebuild of its AI-powered ad targeting after Apple's privacy changes and its strategic pivot into AI glasses as a future consumer device.

“The stock is down 23% from its recent high of $796 back in March. While the price was getting cut, the business was doing the opposite. Revenue grew 33% year over year, and operating margins expanded over 800 basis points in that same window.”

Despite the stock's recent 11% drop after earnings due to increased AI spending guidance, the analyst views Meta's fundamentals as elite, with strong revenue growth and market dominance. He believes the market overreacted to the AI spending news, creating a long-term buying opportunity, and personally bought a significant amount after the dip.

“But it's all due to a very explainable event, which for me it it makes that data a little less reliable because 2 or 3 days after the stock fell, I actually bought a fair amount because it's a long-term play for me. And I know that this discount may have been from an overreaction.”

The YouTuber suggests that Meta, along with other maturing tech giants, is transitioning from a growth stock to a potential dividend powerhouse. He notes Meta initiated its first dividend in February 2024 and has already increased it, signaling a commitment to returning value to shareholders as its growth slows and cash piles up. This aligns with a historical pattern where today's dividend initiators become tomorrow's dividend growers.

“Meta initiated its first ever dividend at 50 cents a share quarterly and has since increased it to over 52 cents a share.”

The YouTuber views Meta as a 'cash cow' and expects it to beat the S&P 500 across all timeframes. He points to the effectiveness of AI-powered ads, new monetization opportunities in WhatsApp and Threads, and controlled spending on Reality Labs. A 5-year projection suggests a price of $998, a 67% upside.

“Without a doubt, Meta is the definition of a cash cow, and their leverage of AI within their ads is really paying off.”

The YouTuber bought a lot of Meta during the dip, stating it meets his criteria for investment. He believes tariffs will have a relatively small impact on the company because hardware constitutes a minor part of its business.

“Meta is another company that I bought a lot during this dip because of the criteria that I gave at the very beginning tariffs will have a relatively small impact on them because their Hardware makes up such a small part of their business.”

The YouTuber views Meta as a 'money printing machine' due to its dominant social media platforms (Facebook, Instagram, WhatsApp) and low overhead/high margins. He acknowledges past metaverse investments but points to improving Oculus progress and strong financial performance with consistently ramping margins and exploding operating income, suggesting potential upside from future tax breaks.

“They have so little overhead and such high margins that they make it a money printing machine. They happen to dominate social media.”

The YouTuber notes Meta has healthy fundamentals with strong cash on hand and a P/E ratio in line with the S&P 500. However, its $1.5 trillion market cap makes a 10x return in 10 years unrealistic. He acknowledges its future potential in social media, VR, and AI but gives it a lower score for 10x potential.

“I give meta a total score of 18 out of 30.”

The YouTuber recommends Meta, noting its heavy AI integration in its ads platform and Reels, which has driven significant ad revenue growth. They expect Meta to continue leveraging AI for recommendations, customer support bots, and ad creation, especially as it makes a comeback in profitability.

“Meta began leaning in heavily with AI with regards to its ads platform and its reels that play on its social networks using AI in this way has allowed meta to create massive growth in their ad Revenue in q1 of this year and it's just now starting to show under stock price.”

Meta is viewed as undervalued, with some YouTubers happily buying shares around $700. The company is doubling down on building infrastructure for AI, which is expected to increase its competitive advantage and drive future growth and stock price appreciation.

“I objectively do still think that the stock is looking undervalued and if the share price remains around here then it is a stock that I will continue buying and building out my position in this price range.”

The video's host expresses a personal desire for Meta to keep crashing, as they believe it is the cheapest among the Magnificent 7 and would like to buy more.

“I'm kind of hoping meta would keep crashing. I'm jinxing it because I would really like to buy and I think it's the cheapest among the Magnificent 7.”

The YouTuber views Meta as a great company, highlighting Mark Zuckerberg's effective leadership as proven by earnings. They indicate they would add more Meta to their portfolio if the stock drops below the $600 mark, noting it has the lowest P/E among the Magnificent Seven.

“So, we see it get below that $600 mark, I'll definitely be adding a lot more meta to my portfolio.”

The YouTuber is interested in buying Meta if its stock price continues to fall. He views it as currently trading at 'very interesting prices' and wants to have cash available to capitalize on a potential further correction.

“Companies like Meta Amazon Salesforce, Adobe are already trading at very interesting prices. If they keep crashing, I want to have the cash ready to buy.”

The YouTuber suggests Meta as a potential 'long' position due to its involvement in AR glasses, which are identified as an almost breaking out technology. The thesis is that AR glasses could disrupt many industries, including smartphones, aligning with the creative destruction theory.

“Long should be meta, maybe unity.”

The YouTuber's 'value ratio' framework identifies Meta as the best deal among the Magnificent 7, with a ratio significantly below the market median and the 10-year Treasury yield benchmark. This suggests it is undervalued based on its projected owner's earnings and risk assessment.

“The best deal currently is meta followed very closely by the only Mac 7 I own in my portfolio, Google.”

The speaker believes Meta is misunderstood, with strong top-line revenue growth driven by AI integration in advertising. Despite market skittishness over increased capex, they argue Meta's investment in AI for internal use (unlike cloud providers selling compute) will lead to significant monetization and engagement improvements across its platforms, making it a compelling long-term investment.

“I think Meta is probably the most misunderstood mega cap here. uh because you have a company growing 33% topline revenue on the advertising business it's continuing to tick up accelerating uh clearly seeing improvement from uh embedding AI into the advertising stack and yet every time they decide to raise their capex numbers the street gets skittish and tries to sell the name off.”

The analyst expresses concern about Meta's ability to monetize AI effectively, despite its large user base and advertising expertise. They question if Meta can compete in a market shifting towards purchasing agents and direct pay, where Meta lacks a strong digital wallet. The high capex for AI might lead to compressed margins even with continued ad dominance, and there are concerns about the strategic footprint for consumer AI monetization.

“It's unclear that Meta is very well set up for that future because they don't have like a strong digital wallet play.”

The analyst believes Meta is making significant progress in the AR/VR space with their new Ray-Ban display glasses, offering an affordable and potentially useful product. They highlight Meta's velocity and investment in the technology, suggesting they are well-positioned to lead in this emerging product category, especially compared to competitors like Apple and Snapchat.

“I would bet on Meta's velocity and trajectory here relative to Apple even though they're AirPods.”

The analyst believes Meta has the most upside in the current AI landscape due to its massive distribution footprint, reaching half the connected globe daily. They anticipate Meta will effectively leverage its open-source Llama models and productize AI in a meaningful way, especially through its Ray-Ban and Oakley smart glasses, which can serve as a distribution point for an AI operator business. This strategy allows them to capitalize on AI without disrupting an existing platform.

“I think meta has the most upside here in this world I think one if you look at it they have the largest distribution footprint you know they're reaching three billion so half of the connected Globe daily”

Meta is rumored to be launching an AI search product, which is seen as a logical move given its vast data across Instagram, Facebook, and WhatsApp. This data, combined with publicly available internet information, could create a powerful search engine with significant distribution, potentially disrupting the current search market.

“we should end we should end with another piece of news which is meta another rumor um they are now potentially going to offer an AI um search product which is quite interesting.”

The analyst believes Meta is leading among big tech companies in AI, effectively integrating AI products into its current offerings like advertising and content creation across its platforms. They highlight the long-term potential of Meta's hardware initiatives, such as the Ray-Ban glasses and the future Orion AR glasses, which are starting to show a payoff from significant capex investments. The company's open approach to development and its ability to pivot from earlier metaverse criticisms are seen as strengths.

“I think they are, in my opinion, leading in terms of the big tech companies when it comes to AI and it may be just that they're very clear in their communication of how this is going to be incorporated versus some of these other companies that have touched on it.”

Cathie Wood views Meta Platforms as a significant beneficiary of the new AI world due to its strategy of open-sourcing large language models. She believes this approach allows other developers to improve the models, which Meta can then integrate back into its platform to build specialized consumer-facing AI applications, leveraging its consumer-facing business model.

“So Meta Platforms is definitely a beneficiary of this new world.”

The analyst expresses high conviction in Meta's Ray-Ban smart glasses, citing their practical functionality as sunglasses, high-quality camera, and integrated Meta AI. They believe the product represents a significant step forward in consumer hardware, offering hands-free computing and a glimpse into a future of seamless AI interaction, especially with upcoming multimodal AI capabilities.

“I'm going to take a leap here and say that this is the first time I have felt like okay a pair of glasses could work.”

The analyst is watching Meta's earnings for insights into user engagement, monetization strategies, and the impact of AI investments. He notes the stock's valuation is better than Alphabet's, with analysts expecting 25% revenue growth, but is keen to see if attention is being pulled away from Meta's platforms and how their significant AI spending affects earnings.

“The bigger thing with Meta is probably going to be what's happening with attention. Are people pulled away from meta meta platforms because they're doing something else?”

The analyst views Meta Platforms favorably, citing its strong financial performance with increasing profitability and net income. He acknowledges the significant investment in Reality Labs but emphasizes the stability and monetization capabilities of its core family of apps, which he believes will continue to drive growth.

“But right now, I think the way to look at their profitability is in the core business. And I think that's really stable because they have become a go-to platform for advertisers.”

The analyst would consider buying Meta Platforms if its share price drops to $350-$400, which would correspond to a P/E or free cash flow multiple under 14-15 times. He acknowledges Meta as a 'phenomenal compounding business' that has matured, but seeks a better entry price, especially if a market sell-off or recession impacts its growth rate.

“If shares of Meta Platforms are trading for under 145 times earnings or free cash flow, that's when things get really compelling for me. That's about 350 $400 per share.”

The analyst acknowledges Meta is a solid company with a decent valuation (forward P/E of 23.5) and strong free cash flow. However, he expresses hesitation due to significant spending on the metaverse and the fact that Mark Zuckerberg controls the company, suggesting it's not a compelling buy at its current price.

“But again, some of those decisions like expending so much on the metaverse and AR glasses and stuff like that. And the fact that you're basically just buying Mark Zuckerberg. Mark Zuckerberg controls this company. That just makes me a little bit hesitant.”

The YouTuber suggests that Meta Platforms may be understating the true costs of its AI investments by depreciating GPUs over an unrealistically long period. The rapid obsolescence and physical degradation of these chips could lead to future write-downs and an overstatement of current profitability.

“are all of these companies underestimating the costs and the returns associated with their artificial intelligence Investments I think this is something that we need to start thinking about and asking about”

The YouTuber suggests Meta is well-positioned to win the VR/AR market due to its proactive strategy of acquiring key VR/AR companies and content, such as Beat Saber and Ready at Dawn. He highlights Meta's willingness to invest heavily and build an ecosystem, contrasting it with Apple's struggles. This aggressive approach is seen as a viable vision for the industry's future.

“Meta is going to capture it because they're the only ones that actually have a viable vision for what this industry looks like in the future.”

The YouTuber praises Mark Zuckerberg's vision and execution, particularly in developing new platforms like AR glasses (Orion) to reduce reliance on other tech ecosystems. He notes the strong performance of Meta's core business (nearly 30% CAGR since 2014, re-accelerated revenue growth) and significant free cash flow generation ($50 billion TTM). Meta's open-sourcing of AI models (Llama) is seen as a strategic move to benefit its ad platform and ecosystem, making the stock a compelling long-term bet at a P/E of 30.

“I think this is a pretty safe business as far as Tech goes trading in a reasonable valuation with a Visionary founder that's a great combination for investors long term.”

The YouTuber notes that David Tepper reduced his Meta position from 11.3% to 8.1% of his portfolio. Tepper, a value investor, bought Meta when it was undervalued and is now selling as the price has risen significantly due to improved efficiency and financial performance.

“He's starting to reduce that position again an investor that's looking for Value so he was buying meta when it was a better value and he's now selling it at a little bit higher price point.”

The analyst believes Meta is well-positioned in AI due to its internal model development for Facebook, Instagram, and WhatsApp, which can significantly improve advertising efficiency. Despite high capital expenditure, this investment is expected to pay off, offering substantial long-term upside and optionality for new applications.

“I do think meta is very well positioned that's why it would be one of my top AI picks.”

The analyst is intrigued by Meta Platforms after its recent stock drop, particularly due to its aggressive investment in AI and the open-sourcing of its Llama models. He believes Meta's AI strategy will enhance its core advertising business and enable new services across its platforms and the web. He would buy if the stock falls further, anticipating long-term payback from these AI investments.

“I would actually like the stock to fall even further before buying in I think there's the potential that will happen over the next few months and quarters as the company invests more and more in artificial intelligence”

The YouTuber discusses Meta's strategy to open its Horizon OS to third-party hardware manufacturers, likening it to Microsoft's playbook with Windows. While acknowledging the significant losses in Reality Labs and the uncertainty of success, he views this as a strategically sound move to potentially grow the VR/AR ecosystem and alleviate pressure on Meta to sell its own headsets. He suggests it could even lay the groundwork for Reality Labs to become a separate entity.

“I think this is probably a move in the right direction. It also takes a little bit of pressure off them from selling those Quest headsets but it will be interesting to see where this goes long term because I could potentially seeing meta eventually spitting this out to be its own business.”

The analyst is more bullish on Meta Platforms due to its significant investment in AI, particularly its 'scorched earth' strategy of open-sourcing models. He believes this will establish Meta's models as a standard and shift the value to use cases within Meta's ecosystem, ultimately driving revenue and user value, despite the market's short-term concerns about high capex and unknown ROI.

“I think it's the right move and it actually makes me more bullish on meta platforms if shares fall significantly over the next few months or the next year may be a stock I finally jump into.”

The YouTuber argues that Meta Platforms is a strong investment in the AI space due to its existing infrastructure, its 'scorched earth' strategy of open-sourcing its Llama 3 model, and its focus on integrating AI into its widely used applications like Instagram and WhatsApp. This approach removes user friction and positions Meta to monetize AI through applications rather than the models themselves, giving it an advantage over competitors like OpenAI.

“meta I think is a very interesting play in the artificial intelligence space because they're taking what I call a scorched Earth strategy they can say hey open AI great you're going to spend a billion dollars building a model we're just going to give away a model that's equivalent for free because we don't care about making money on the model we want to make money on the applications that we're building building and the way that we're actually using this and that is going to be much more advantageous to us to have our models be used as an open source Baseline for a lot of these technology products that are built then it would be closing them off the way that open AI is trying to do”

The YouTuber notes that David Tepper reduced his Meta position by 5.1% in the most recent quarter. While Meta has been a long-term holding, Tepper appears to be taking some profits after adding to the position in mid-2023, possibly indicating a view that the stock has run up significantly.

“meta that position was down 5.1% in the most recent quarter... started taking some profits late in the year.”

The analyst recommends Meta Platforms as a strong AI investment due to its extensive data center infrastructure, including a large fleet of Nvidia chips, and its leading Llama AI models which are open-sourced. Meta can leverage AI to enhance its core social media and advertising businesses, improving ad customization and customer service, and integrating AI into future products like Ray-Ban glasses.

“I think this is one of those companies that isn't necessarily an AI company today and ironically Mark Zuckerberg may have renamed the company a little bit too early calling it meta platforms because maybe it it makes more sense for meta platforms to be an artificial intelligence company in the future with social media as sort of its core business but AI is going to play a major role for them going forward.”

The analyst suggests Meta Platforms would benefit significantly if TikTok is banned or forced to sell in the US. This would lead to creators and advertisers migrating to platforms like Instagram Reels, providing an incremental revenue boost that would disproportionately flow to Meta's bottom line and remove a major competitor.

“I think meta and YouTube are likely going to be the the two winners and it's not really clear which one is going to take how much market share but again a lot of the content is going to end up on both of those platforms both with shorts and then Instagram reels and this might not be a massive impact but even a 5 6 7% increase in revenue for you YouTube and for meta's app platforms could be a really nice boost and these are going to be incremental sources of revenue not a huge increase in cost so a lot of that money is going to disproportionately flow to the bottom line”

The YouTuber argues that Meta Platforms is underestimated in the AI space due to its strategy of open-sourcing powerful AI models like Llama 3. This 'scorched earth' approach aims to commoditize AI models, thereby undermining competitors like OpenAI and Microsoft, while Meta profits from the integrated use cases within its vast ecosystem of apps and platforms. Meta's significant investment in H100 GPUs further strengthens its position.

“I think the one company that's being underestimated is meta platforms and the reason for that is they have different incentives than most of the other players in artificial intelligence.”

The analyst argues that Meta Platforms has made a significant blunder by investing over $50 billion into Reality Labs, which continues to incur substantial operating losses with little revenue generation. He believes the company should focus on its core social networking business rather than pursuing the metaverse, as customers and developers are not adopting their VR/AR technologies. The investment is seen as a money sink that detracts from Meta's strengths.

“I think this has become a real money sink for Meta Platforms as a company and this should really just go back to being Facebook and The Social Network business.”

The analyst views Meta Platforms as more attractive than Nvidia or Shopify due to its lower valuation (forward P/E under 20) and strong recent performance, including revenue and user growth. He would consider buying if the stock price comes down, despite ongoing investments in Reality Labs, which the market seems to be overlooking.

“meta on the other hand much more attractive price point I would like to see that stock come down before getting in.”

Travis Hoium argues that Meta Platforms is the only investable social media company due to its unparalleled scale, which drives superior gross profit and operating income margins compared to rivals like Snap and Pinterest. He explains that social media is a 'winner-take-all' market where scale attracts advertisers and allows for greater investment in platform development, solidifying Meta's competitive advantage for the long term.

“I think there's only one investable company and that is meta.”

The analyst believes Meta's open-sourcing of its Llama 2 AI model is a strategic move that will benefit the company long-term. By allowing developers to improve the model and shifting AI inferences to devices, Meta can reduce its own computing costs and enhance its product offerings, ultimately strengthening its core advertising business. This strategy differentiates Meta from competitors who aim to monetize their AI models directly.

“I think this is one of the Hidden benefits for meta is that they're going to move a lot of that cost onto the device.”

The YouTuber advises selling Meta Platforms, citing its valuation at 35 times earnings as too high for a mature digital advertising business facing increasing competition and slowing growth. He also highlights the significant drag on financials from Mark Zuckerberg's continued investment in the VR/AR 'metaverse' business, which he believes is burning money.

“paying 35 36 times earnings is just a crazy price to be paying right now”

Travis Hoium argues that Meta's significant and growing investment in Reality Labs (metaverse) is a major drag on the company's financials, with revenue declining and operating losses increasing. He believes this spending is unsustainable and questions the long-term payoff, especially given the company's current valuation and focus on efficiency in its core business. He suggests Meta should divest from Reality Labs and focus on its profitable core or invest in other companies building metaverse technology.

“I just don't see any evidence right now that massive investment is going to be worth it for Meta the company or shareholders long term.”

The analyst expresses concern about Meta's strategic direction in the metaverse and VR/AR space, especially with Apple's entry. Meta's Reality Labs is losing significant money, and Apple's superior retail presence and ecosystem integration could further disrupt Meta's vision for owning the metaverse.

“I'm really concerned that we may see the weakness in meta's strategic Direction and the products that they have in the metaverse and VR and AR as early as the end of the year”

The analyst suggests that Meta Platforms stock could double if the company were to eliminate or spin off its Reality Labs division. This move would add an estimated $10-12 billion to net income, significantly improving the company's P/E multiple and overall valuation. The current valuation is depressed due to high spending on Reality Labs with no clear return.

“This is a stock that I really think could increase fifty percent to a hundred percent just by eliminating reality Labs whether that's a spin-off or shutting it down altogether again I don't think that Mark Zuckerberg is going to do this because he doesn't have incentive to do this but if you're an investor in meta that's really one of the upsides if they start talking about cutting back on this spending the stock could shoot higher and that's one reason to be bullish on meta stock”

The analyst suggests avoiding Meta Platforms due to concerns about its metaverse strategy. He argues that the company is spending $10 billion annually on an unproven product, Horizon, which even its own employees are not actively using. This investment is seen as throwing 'good money after bad,' potentially hindering cash flow maximization from their successful core products, and Meta may not be the right company to dominate this new technology paradigm.

“I think this may be the company throwing good money after bad as an investor I'm not a shareholder of meta but if I was I would want them to be maximizing the cash flow that they're generating from their current successful products and not spending so much money on these products that are unproven.”

The analyst suggests Meta (Facebook) as a strong investment, acknowledging its dominant position in social media and ability to adapt quickly. He notes its significant cash reserves and scale in advertising, despite concerns about metaverse spending. The company's founder-led structure is also seen as a positive.

“it's really hard to argue with their business the amount of money that they're making at this point”

The YouTuber maintains a $1,000 price target on Meta, noting it was in the $600s today. He implies it's a stock to be looking for, suggesting it has significant upside potential.

“Meta still has my same price target of $1,000 on that one as well. It was in the sixes today.”

The YouTuber recommends buying Meta if it pulls back to the $400-$500 range, maintaining a long-term price target of $1,000. He acknowledges it might take a 'scenic route' to reach the target but emphasizes buying on any dips.

“When this go down to $400 to $500, please scoop this up. Now 2026 is one of those lagger type of years. So I still have a $1,000 price target on this.”

The YouTuber suggests buying Meta when its price is in the $300-$600 range, viewing its current state as a period of 'hibernation' or consolidation before another significant expansion. He has a $1,000 price target, citing technical signs like a double bottom forming.

“When it take off, Coach has a $1,000 price target on this. So, as I say, for everything else, these are the zones you want to get it in. 600, 500, and 400.”

The YouTuber suggests buying Meta Platforms (META) for a long-term hold, specifically targeting prices below $630, $615, $600, or $580. He believes the stock is setting up for a technical breakout, similar to past patterns seen in Palantir, SoFi, Nvidia, and Amazon, and expects it to reach new all-time highs as the broader market melts higher.

“If you're going to get meta for 2026, okay, you need to consider this at 6:30. This is by zone. You can get this at 615, you can get this at 600, or you can get this at 580.”

The YouTuber suggests buying Meta (META) due to its recent 13.5% drop over the past 30 days, viewing it as a buying opportunity. He believes Meta is a $1,000 stock and that buying it at current lower prices (around $647) will maximize returns when it reaches its target.

“Now it's back to 600. So 647500 would be another area that you would buy because as I keep telling you this is a $1,000 stock.”

The YouTuber suggests that Meta, along with other quality companies, is currently 'on sale' due to market corrections. He advises accumulating shares for the long term when the stock is down 20% or more from its 52-week high, viewing these dips as buying opportunities.

“Go look at Palunteer, look at Nvidia, go look at Meta for example, go look at Hood, ticker symbol H OD, for example. You have some great companies on sale right now that are at even lower levels than where the SPY is at.”

The YouTuber recommends buying Meta on dips, stating that it will recapture $700 and eventually reach $1,000. He views recent pullbacks as buying opportunities, especially given positive earnings from other tech giants like Apple and Amazon, which he believes will lift all boats.

“Meta will recapture 700 and Meta will end up going to a,000. Mark these down. Track these levels and then remember to do the work in terms of buying a dip for me.”

The YouTuber strongly recommends buying Meta, predicting it will reach $1,000, similar to Netflix's previous run. He highlights Meta's leadership in AI implementation, particularly in advertising, and advises buying shares and potentially call options with a 3-6 month to one-year horizon.

“Meta is 700. This is all technical, guys. Okay, just a heads up while I'm talking like this. It's 700. It's It's bubbling up. Okay, it's taking it's precious time, but this is going to be $1,000.”

The YouTuber identifies Meta as a stock with a price target of $1,000, advising viewers to buy shares, especially on pullbacks. He emphasizes that buying low leads to the best returns and suggests holding it long-term (3-10 years) for life-changing gains.

“Meta, this is going to be a stock that is going to go to $1,000, which is coach's price target. Okay, I need you in it. Okay, look, it's some pullback $12. We like that cuz why? We buy low around here. And when you buy low, that is how you make the best return on your investment when the stock takes off.”

The YouTuber advises buying Meta, particularly if it pulls back to a 'six handle' (below $700), anticipating a run into the end of the year and next year. He sets an aggressive new price target of $1,000, citing the company's strong momentum and ability to make significant moves.

“So 710 on any pullback. If you guys see a six handle, you have to now be thinking, 'All right, September, we're going to get this opportunity to buy the dip. Maybe like late August.'”

The YouTuber recommends buying Meta on dips, anticipating it will reach $1000. He suggests accumulating shares gradually, buying a smaller initial position and adding more on pullbacks to lower the average cost, citing a long-term bullish outlook.

“When this has a red day, we go shopping on red days. Everybody know this in case y'all come to anything I'mma have. You got to know our lingo. When it's blood in the streets, it's time to eat. That's a red day. We buy stocks on red days.”

The YouTuber recommends buying Meta, citing its strong position in AI and its continued dominance in advertising through platforms like Instagram, WhatsApp, and Facebook. He believes Meta has significant growth potential, comparing its current trajectory to Netflix's past performance, and expects it to reach $1,000.

“Meta, don't miss this one. So, you could put $50 in it now. That will just make sure you know you at least put $50 in it at the bare minimum.”

The YouTuber advocates buying Meta on dips, specifically when it pulls back from highs. He notes that it has previously reached $740, pulled back, and then returned to $700, suggesting a pattern of 'rinse and repeat' for profit. He believes it is ultimately heading to $1,000.

“I just keep hearing you say it's going to a,000. I've been getting every contract a month out and simply kicking my feet up and taking profits. Thanks for the guidance. This is a beautiful strategy, guys.”

The YouTuber includes Meta as a recommended stock, stating it will be one of the 'winners' alongside Netflix.

“Don't forget about Meta. Don't forget about Netflix. Them going to be your two winners.”

The YouTuber strongly recommends Meta, stating it's a stock that can 'change your life' and has been 'pounding the table' for it. He highlights its strong performance and suggests buying it on pullbacks, implying it's a consistent winner.

“Put Meta in your back pocket for me, guys. It's just that one play that I always can go to up or down that can get busy.”

The YouTuber suggests buying Meta on a down day, particularly after earnings, to position oneself for potential future gains when the stock takes off. He implies that recent earnings might have caused a dip, creating a buying opportunity.

“If you don't have Meta on your radar, if you don't have Netflix on your radar, if you don't have Palunteer on your radar, please do me a favor and go make sure that if you catch them low, if you catch them having a red day, a down day, you get them because when stocks take off, I want you to have positioned yourself properly for you to reap some of the rewards.”

The YouTuber advises buying Meta, especially if it's trading in the $400s or $500s, viewing any current headwinds as temporary. They believe the stock has significant upside once market pressures ease, comparing it to Netflix as a potential $1,000 stock.

“If you see a five in front of anything on Meta or a four, you buy it cuz coach told you this too is a $1,000 stock just like Netflix.”

The YouTuber recommends buying Meta if its price is in the $400s, believing it will eventually return to being a top performer and reach $1,000. He acknowledges current headwinds with the administration but expects it to overcome them.

“If this is in the Force, you buy it because this too is a $1,000 stock just like Netflix.”

The YouTuber strongly advocates buying Meta when its price is low, specifically around $400 or $500. He considers it the 'best stock in the stock market' with the 'best valuation,' believing its rightful place is between $700 and $1,000, and ultimately $1,100, suggesting it's undervalued at current lower prices.

“I told you whenever this is at 400 or 500, you buy it because we already know this is $1,000 stock.”

The YouTuber expresses high conviction in Meta, calling it the 'best stock in the stock market.' He sets limit orders to buy at $440 and $390, aiming to accumulate shares at lower prices during the market crash, confident that it will rebound strongly and deliver substantial long-term returns.

“I always buy this at 400. I like this at 440. Okay. I want you guys to see this and if we get if coach get lucky I want you guys to see this.”

The YouTuber strongly recommends buying Meta, calling it the 'best company in the stock market' and highlighting its potential for significant growth. He advises buying it during market pullbacks, especially if it drops to the $400s or $500s, citing its strong valuation and undervaluation compared to its potential.

“Again if you ever see this in the fives or fours and even at this level you buy it. You buy Meta, this is the best company in the stock market.”

The YouTuber recommends Meta as a good company with strong valuation and balance sheet. He believes it will be one of the best-performing stocks throughout the year, attracting capital as money moves out of other areas.

“This is just a good Rand company this deeper than just being a good stock okay it's the other behind the scenes meaning the valuation you know what I'm saying the balance sheet the the things that they're doing and how they're going about it and as money gets pulled out of other places it will go here make no mistake about it.”

The YouTuber advises buying Meta (META) on a pullback, as it is 'due for a cool off' after many consecutive up days. He states that no matter how far it pulls down, it is expected to return to the $724 level, offering a significant profit opportunity if bought lower.

“so no matter how far they pull it down you know is going back to 724 okay so if you can get it lower the more money you make when it get to 724.”

The YouTuber recommends buying Meta if its price drops into the $400-$500 range, stating that he previously predicted its rise and believes it will eventually reach $1,000. He emphasizes that it's a stock to keep on the radar for February.

“I told you anytime this come down in the four or fives you buy this because I told you this was coming.”

The YouTuber identifies Meta as the number one play in the stock market, superior to Nvidia or Palantir. He emphasizes its strong balance sheet, innovation from Mark Zuckerberg, lack of debt, and effective capital management, arguing it is undervalued by Wall Street and will reach $1,000.

“This play is a $1,000 play guys. Just know coach told it to you first when it get there.”

The YouTuber identifies Meta as his 'Dark Horse' and the best stock for 2025, urging viewers to buy it in the $500s, and especially if it drops into the $400s. He notes its past performance and believes it has the potential to reach $1,000, with intermediate targets of $707, $720, and $750.

“this is going to be the best stock of 2025 is meta guys ticker symol mea do not sleep on this I'm telling you if you want to make a lot of money you don't need none of this you can just do this play right here and it will change your life”

The YouTuber identifies Meta as the 'best play for 2025' and a life-changing stock. He advises buying the dip, specifically if the price ever falls into the $4-$5 range, indicating it's a stock that consistently performs well after pullbacks.

“this one will change your life if you ever see this in the fives or fours you you have to know the plays that go crazy meta is one of those ones”

The YouTuber suggests buying Meta Platforms if it pulls back to the $500-$600 range, noting its recent parabolic run. He views any significant dip as a 'rinse and repeat' opportunity for new investors or to add to existing positions, emphasizing its potential for life-changing moves.

“Anytime this comes back to the fives or fours you get in it because it just showed you look at this it just showed you how it can R parabolically.”

The YouTuber suggests putting Meta on the radar for January, noting its recent dip to $580 from $590. He highlights its ability to make quick $10 moves within a few hours, advocating for short-term 'sniper' trades to capture these rapid gains rather than long-term holding.

“put meta on your radar for January okay guys I want you in this one okay”

The YouTuber strongly recommends buying Meta, especially when it's experiencing a downturn, viewing it as a discounted opportunity. He highlights Meta's strong position in AI, virtual reality, and online marketing through platforms like Instagram and Facebook, predicting it could double or at least gain 50% in 2025.

“this will double in 2025 okay so you want to get this while it's look at this it was down 5% $32 all right you want to get this you want to always look at the market like man the downtime is when I need to be getting in position.”

The YouTuber suggests buying Meta (META) when it's down, specifically below $565, as he believes it's a 'buy the dip' opportunity. He projects it will reach $600 and above, citing its potential for growth during the year-end 'Santa rally' and Christmas season.

“Let It Go Down Let It Go Down you want the name of the game is boow this is a $600 and above play.”

The YouTuber suggests buying Meta when it pulls back from its recent all-time high of $572.99, anticipating it will retest and surpass this level. He expects it to reach around $600, emphasizing buying on dips like $545-$547 for greater returns, comparing its trajectory to a 'rocket ship'.

“let them push it down because when we get in it I just showed you where it's going so it can come to 555 535 that do like this guys it just mean more money cuz they showed look they showed us the target this is where it's going and higher it's going to go higher ultimately but I need to teach you guys levels and hurdles okay so this is going to be our next Home Run play”

The YouTuber lists Meta as one of several stocks to keep on the radar, implying a positive outlook without providing specific detailed reasoning beyond general market sentiment.

“And so other ones should be on your radar guys is meta avgo okay Amazon and Google put those on your list as well okay”

The YouTuber identifies Meta as a buying opportunity, noting its current price around $400 after a significant run-up from $60 to $500-$600. He views the current level as another chance to buy before it potentially runs back to $500-$600, emphasizing that these movements are cyclical.

“now it's back at $400 which is another buying opportunity for it to run back to 5 and 600 again.”

The YouTuber briefly mentions Meta as another potential stock to consider for a similar play, but provides no specific price targets, conditions, or reasoning.

“um meta might be another one you might want to consider there's plenty to do it with”

The YouTuber recommends Meta, noting its recent climb past $500 after a previous recommendation to add at $400. He believes it has more room to run, especially with AI on the horizon, and highlights the benefit of having the founder, Mark Zuckerberg, still running the company.

“This one has cracked the $500 range but again just on a recent level I had us add to our position or establish one in around $400 telling you that this was going to go to $500 and So currently we're sitting at 504 they out did what I projected but guess what they got more room to run”

The YouTuber expresses strong conviction in Meta, stating he will buy more aggressively if it pulls back to the $444-$464 range. He previously predicted its rise to $500 and sees it as a 'beast' for trading, investing, and dividends.

“when this come back to 444 464 stuff like that I'm moving all the other stuff out the way”

The YouTuber suggests Meta as a life-changing investment, highlighting its significant investment in the metaverse and its strong position to capitalize on the AI movement beyond just chips. He advises investors to examine its balance sheet, profits, and cash flow, and notes the benefit of having a founder-CEO like Mark Zuckerberg.

“a company that's going to exceed all of these companies will be meta they already have put their money where their mouth is they already got their their prints in The Meta they got money allocated towards it over 29 billion they have the metaverse they have they just have the perfect vehicle to take full advantage of this AI movement”

The YouTuber advises buying Meta after it experiences a pullback from its resistance level around $502. He explains that the stock typically tests resistance multiple times, gets rejected, and then pulls back to gather momentum before breaking through to higher levels.

“it should come back down to like right here 477 it's going to run back into and through 502”

The YouTuber identifies Meta as a 'sleeper play' and recommends it as a buy, stating it's making its way back to its rightful place around $500 after being undervalued post-earnings. He highlights its recent gains and categorizes it as a quality, blue-chip company with a great balance sheet, suitable for a diversified portfolio.

“My sleeper play is meta if you got to have two stocks I wanted to be these two for 2024 Nvidia and meta.”

The YouTuber suggests Meta is a 'dark horse' and a buy if it can recapture the $500 level. He notes that the 'sell in May and go away' adage has been incorrect for the past two years and believes a strong start to June could push Meta towards the $490 level.

“if this can recapture $500 from this current level guys we got plenty of room to run.”

The YouTuber suggests Meta as a long-term investment, noting its recent climb from $427 and its approach to the $480 resistance. A break above $480 could lead to recapturing the $500 level. He also mentions it as a good option for dollar-cost averaging.

“if we can break through this 480 range that opens the door for us to go and recapture 500 which is around where we fell from.”

The YouTuber notes Meta has been declining and could drop further to around $460. He believes that if it reaches this level, it could be a buying opportunity, expecting a strong rebound after earnings, assuming Wall Street responds positively.

“I can see them coming to 16 for another $20 but then from there guys it could be back to a rocket ship but that all depends on how they do want earnings.”

The YouTuber suggests buying Meta, advocating for a dollar-cost averaging approach. He includes Meta in a list of 'quality Blue Chip companies' that are 'blowing it out the water' and have been performing well, implying continued growth and strong fundamentals.

“Get Meta on your radar, get companies that's just blowing it out the water on your radar that means be buying.”

The YouTuber suggests buying Meta if it holds support levels around $457-$458, anticipating a bounce towards $474 and potentially higher. He emphasizes reacting to price action rather than guessing.

“if you can hold for 59 if you can hold that level we're at a support level okay we should bounce off of this and head head back towards 474 and potentially higher okay”

Despite a significant run-up last week, the YouTuber believes Meta has more room to run and encourages viewers to stay bullish. He acknowledges potential pullbacks but expects the overall trend to be higher.

“meta ticker symbol mea sitting at 47290 they're up 20% but guys they have more room to run do not rule out uh retest of highs from Friday okay but then throughout the week guys it expect a pullback okay you have to know that's powerful the course you have to know that come with the territory so I want you guys to embrace it all but in the meantime stay bullish that means you take this higher”

The YouTuber suggests buying Meta on a pullback after its recent earnings-driven surge. He notes a similar pattern occurred last year where the stock ran up significantly after earnings, and he anticipates it will run up another $20 from its current $450 level, targeting $470-$477.

“it's going to pull back so your job will be if you want to make some money off of this tomorrow or into next week to get yourself some time get in on the pullback it's going to go up another $20 so it's if it's at $450 be looking for 4 what 77 okay 470 477 from here okay but you want to be getting in at around this level when it pulls back cuz it might be up even higher in the morning okay”

The YouTuber is bullish on Meta, predicting it will reach $415-$425 after its upcoming earnings report, which he expects to be strong. He notes the stock was at $390 previously and is now at $403.92, suggesting it's bubbling up.

“Meta I told you when this was 390 this was headed to 400 by the time earning come and they going to crush earnings just like I told you SOI was going Crush earnings and take off this play going to do the same exact thing guys I'm thinking around 4 15 420 425 for this one after earnings.”

The YouTuber expects Meta to clear the $400 level and potentially reach $410 after its earnings report, citing the company's strong performance since focusing on efficiency. He believes the momentum will continue this week.

“I wouldn't be surprised that after they report this one clears the 400 level and above maybe 4 10ish on a good earnings report guys they've been crushing it ever since they talked about it being the year of efficiency.”

The YouTuber notes Meta's recent gains and suggests it still has room to grow, especially with upcoming tech earnings. He advises investors to consider their options given the substantial profits already made.

“Meta still has more room to move and groove guys Tech earnings will be coming up soon so I want you guys to be on the lookout for what type of again mishaps that may bring whether it be the reason we continue to go up or whether it be the reason they let the air out of the balloon and this comes down nevertheless you have made a substantial amount of money in this up until now so you have decisions to make on what it is you want to do”

The YouTuber suggests buying Meta on pullbacks, noting its resilience despite a board member's departure. He considers it a quality stock with continued upward potential.

“Again be on the lookout on any type of pullbacks to get into the quality stocks that's going to keep running up for you.”

The YouTuber expects Meta to continue its strong performance into next year after a significant rebound in 2023. He advises waiting for a pullback before entering a position.

“This one again had a phenomenal year I see them continuing to do their thing into next year.”

The YouTuber believes Meta is poised for a significant upward move, especially if Apple's earnings and subsequent market reaction are positive. They see the recent Fed news as a positive catalyst.

“I told you guys the rocket ship is coming the news we got from the Fed today or the lack of news however you guys want to interpret it means that could be that's why I say we got one part of what we need we need to see Apple's earnings after market Clos tomorrow and actually how the stock reacts to the conference call okay and then once that is final once that's passed us and if we do what AMD did Apple should clear 174 spy going to take off meta going to take off Google going to take off and then we'll be Off to the Races to kind of close out the year okay”

The YouTuber recommends buying Meta, stating it recently crushed earnings and is one of the best-run big tech companies. He believes its valuation is still cheap compared to peers, making it a good value. He suggests accumulating shares if the price is in the $200s, specifically the $290s or $280s, expecting it to rebound to $312-$320.

“it's at a great level for you to consider accumulating some shares”

The YouTuber is bullish on Meta, noting its recent strong performance and potential for further growth into year-end. They advise using pullbacks as buying opportunities, particularly when the stock bounces off support levels, suggesting a long-term accumulation strategy.

“meta can take off meta can set us on the pathway to Rally into the year end again expect pullbacks those are just buying opportunities especially when they bounce off support”

The YouTuber identifies Meta as a stock ready to 'explode,' noting its recent move from the $306-$307 range up to $318.70. He recommends adding it to a watch list.

“Another one I have for you guys that's ready to explode is meta ticker symbol on this one is Mea otherwise formerly known as Facebook guys it is sitting at 31870.”

The analyst likes Meta because as a business owner, she spends significant amounts on Meta ads and finds them indispensable for her business. She believes that if she is spending so much, the company is not going anywhere and likes to invest in companies she is already a consumer of.

“As a small business owner, like nothing comes close to meta. And I'm like, if I'm spending this much on meta, it is not going anywhere.”

Ray Dalio has sold Meta, along with other major tech companies, as he shifts his portfolio from software to AI infrastructure. He believes it's difficult to predict which AI models will win, and these stocks have seen significant appreciation.

“Las otras ventas que ha realizado podemos ver claramente que son compañías tecnológicas que son las favoritas de algunos inversores. Ha vendido Google, eh Meta o Facebook y Microsoft.”

The YouTuber notes Facebook's (Meta) strong market share in social media through Facebook and Instagram, despite competition from TikTok. They highlight its continued double-digit revenue growth and high profit margins, making it an attractive investment even with some growth deceleration and margin compression.

“Sigue siendo al menos crecimiento de doble dígito superior al 10% los márgenes de beneficio también se han comprimido un poco por esa mayor competencia hace años eran de un 49 ahora es de un 40 pero aún así siguen siendo muy elevados.”

Bill Ackman's Pershing Square added a new significant position in Meta. The investment is based on three pillars: the AI thesis, Meta's strong network effect/moat, and its valuation. Ackman believes Meta is a clear beneficiary of AI integration, which will improve product and ad targeting. Despite high AI spending, Meta's established platforms provide a wide moat, and its P/E ratio of 22 is considered attractive compared to other MAG 7 companies, suggesting a discounted valuation.

“We believe Meta's current share price underappreciates the company's long-term upside potential from AI and represents a deeply discounted valuation for one of the world's greatest businesses.”

The YouTuber notes that Meta is a dominant player in online advertising with a strong balance sheet and a powerful network effect moat. While acknowledging the unprofitability of Reality Labs, the core advertising business generates significant free cash flow, making it a safe long-term holding for super investors.

“Meta is a perfect example of a network effect the concept that a product or service gets more beneficial for a consumer the more people that use it.”

Meta Platforms is recommended for its unparalleled social reach, connecting over 4 billion people across its platforms. The analyst believes AI will be a significant inflection point for Meta, particularly in advertising, with Zuckerberg's plan to leverage AI to automate ad creatives and target demographics, potentially disrupting the trillion-dollar ad industry. Meta's strong and improving operating margin (43%) and 21% expected revenue growth further support the bullish case.

“Zuckerberg has a plan to basically take over the trillion dollar ad industry through ad creatives.”

The analyst is buying Meta Platforms, believing the market underestimates its future dominance in advertising through AI-driven ad creation and its potential in consumer electronics with AI glasses. He compares the AI glasses opportunity to the iPhone's impact on Apple and notes that despite current flat earnings due to aggressive R&D spending, next year's earnings are projected to jump 50%, making the current 8.8x price-to-sales valuation attractive.

“Meta is going to put the entire advertising world out of business and collect hundreds of billions of dollars in the process. Just as big though could be Meta's move into consumer electronics with its AI glasses.”

The analyst likes Meta Platforms at its current price, following a steep sell-off due to spending worries. He believes Meta has a lead in consumer AI with its glasses and is well-positioned to market to a mass audience.

“And I do like the stock right here. I think Meta has the lead on consumer AI with its glasses and it's going to be first to really market to a mass appeal.”

The YouTuber suggests Meta Platforms could provide good returns, noting its efforts to mend relationships with the administration through lobbying and significant investment pledges. This could lead to more favorable regulatory conditions, especially concerning federal digital policy and AI oversight.

“Meta platforms should provide good returns as well. So I think you look at all three of those.”

The YouTuber suggests Meta Platforms as a buy, despite its reliance on ad space in a screen-centric world. Meta is forward-thinking in wearables, rolling out AI glasses with Ray-Ban and Oakley, and its Meta Quest VR headset. The company's vast user base of over 6 billion across its platforms can be migrated to a voice-centric world, and its sales growth rate justifies its premium valuation compared to Apple.

“Meta does lose that ad space on this platform, but the company has been extremely forward thinking on wearables now rolling out AI glasses with Rayban and Oakley along with its MetaQuest VR headset.”

Meta Platforms is projected to see an $11 billion boost to its free cash flow, a 22% increase. While currently trading at a higher price-to-cash flow multiple than its historical average, Hogue suggests that even if its valuation multiple contracts, the significant increase in cash flow could still result in a 16% higher stock value.

“Meta Platform's ticker META could see an 11 billion boost on its free cash flow, an increase of 22% to the $50 billion in free cash flow it reported over the last year... But even if this stock were to drop to its 15x valuation multiple, a 25% decrease, the shares would still be worth 16% more on this increase in cash flow.”

The YouTuber suggests buying Meta Platforms due to an unpriced-in cash windfall from recent tax law changes. He cites a report estimating an $11 billion increase in free cash flow for Meta this year, representing a 30% boost to previously estimated free cash flow. This significant increase in cash generation for investors is not yet reflected in the stock price, making it an attractive opportunity.

“Zion in a recent report estimated that Meta Platforms, so META, going to cash cast cash cast savings of 11 billion this year... That is equivalent to 30% previously estimated free cash flow.”

Meta Platforms is identified as a stock to watch, with Zuckerberg's plan to leverage AI in the advertising industry. Despite growth slowing to 13%, it's expected to accelerate slightly, and the company converts over half its sales into profits. While analysts see consolidation after a big run, its advertising plans suggest future upside.

“But those advertising plants means it's likely to run much higher eventually.”

The analyst recommends buying Meta Platforms piece by piece over the next few years, citing its cheaper valuation at under 11 times price-to-sales compared to Microsoft, despite similar sales growth expectations. The company's developing story in advertising, particularly with AI tools, is seen as a strong growth driver.

“I like the company's developing story in advertising. Zuckerberg laid out plans in May to pretty much take over the advertising industry through its AI tools that would help it dominate the trillion dollar spending.”

The YouTuber believes Meta is well-positioned for the AI revolution in advertising, with recent news of a 50-person AI task force and a $10 billion investment. However, he notes the stock is currently overbought with an RSI of 72 and its valuation has crept up to 10.6x price-to-sales, making it a 'hold' in the near term due to potential for a correction.

“Now, I do think the company does very well on that AI revolution in advertising, but near-term it's getting overbought and ready for a correction.”

The YouTuber recommends Meta Platforms, citing its dominance in social media and strong ad revenue outlook despite a general ad spending slowdown. He highlights Meta's market share gains and Zuckerberg's vision for AI to revolutionize the advertising industry, suggesting the company's projected $186 billion revenue for this year could be a fraction of its future potential in a trillion-dollar market.

“Meta is moving even further into the total media ad spending ecosystem. A trillion dollar market and with very real plans to take everything.”

The analyst believes Meta is highly underestimated due to its dominance in social media and its potential in AI-driven advertising. Despite heavy spending on AI, the company is expected to post strong revenue and earnings growth. Meta is gaining market share in advertising, and its AI strategy could significantly expand its revenue beyond current forecasts.

“First, we know that Meta is gaining that market share from rivals in an ad spending slowdown. But put it with that AI future and you have Meta moving even further in the total media ad spending ecosystem.”

The analyst expresses concern about Meta Platforms due to its high exposure to advertising revenue, which could be impacted by a slowing economy, consumer spending, and tariffs. He also highlights increased regulatory oversight and fines, concluding that the stock is relatively expensive for its growth rate, and he would wait for a lower price.

“So, I'm waiting for a lower price before I get excited about Meta.”

The analyst recommends accumulating Meta Platforms, even at its current valuation of 25 times P/E and 9 times sales, due to its strong revenue growth (22% last quarter) and successful monetization of AI investments. He believes Meta's open-source AI strategy will continue to drive user growth and long-term success.

“I would be adding on any dips and even accumulating at this price”

The YouTuber suggests covering some positions in Meta Platforms due to high valuations and the likelihood of disappointing earnings from the remaining Magnificent Seven stocks this week, following recent drops in Alphabet, Nvidia, and Tesla.

“That said Returns on the mag 7 stocks have been very good this year with the exception of Tesla Nvidia is still up 127% followed by meta up 31% alphabet 19 and Amazon 19% Apple up 133% and Microsoft lagging at 12% here but and so valuations are still pretty high on this group while investors should have some exposure to these Tech Giants long term the likelihood that we see those disappointing earnings from the remaining four stocks this week you might want to cover some of your positions just a little showing you that bigger picture here with with the sector spider.com sector tracker seven of the 11 stock sectors did close higher last week despite the loss on the overall market index.”

The analyst is avoiding Meta Platforms due to lower-than-expected revenue guidance and increased spending on AI development, which will make it difficult to hit EPS forecasts. While he likes the open-source AI model long-term, he believes the stock may continue to decline in the short term. He would consider buying if shares drop closer to $375.

“I am avoiding shares at this point and would wait until shares get closer to maybe $375 each before I start tiptoeing in on evaluation.”

Meta Platforms is favored due to its unique strategy of open-sourcing its Llama 3 AI assistant, which could attract developers and accelerate model training. Initial positive reviews for Llama 3, combined with strong revenue growth expectations of 17% and earnings growth of 35% this year, make it an attractive investment despite its recent run.

“I still like shares of meta”

The analyst highlights Meta's strong performance, driven by its background use of AI for user experience and advertising, as well as its open-sourcing of the Llama large language model. Meta exceeds the 'Rule of 40' with strong revenue growth and profit margins, and its cost structure improvements have helped its stock rebound.

“in our ruer 40 meta actually breaks 60 with its nearly 16% Revenue growth and 44% profit margin at more than 3 billion monthly active users growth has slowed but it's still finding new ways to increase Revenue per user especially outside the US”

The YouTuber identifies Meta Platforms as a stock to avoid due to its declining operating margin over several years, falling from 50% to 34% by 2019 and plunging to 25% last year. This trend indicates that the company is losing control of its costs, particularly related to the metaverse project, which is destroying profitability and poses a significant risk to its future stock performance.

“We saw meta's operating margin fell from 50% to just 34% in the years to 2019 and even as it has rebounded a little bit last year last year it plunged 25%.”

The YouTuber recommends Meta Platforms, believing in the long-term transition to an immersive internet experience (metaverse) which Meta is positioned to dominate. He acknowledges current challenges like privacy changes and ad revenue decline but views them as temporary, expecting the stock to recover to $200 by 2025 and benefit from its strong position in virtual reality headsets.

“I think solving just those two problems takes the shares back up to 200 each by 2025 but then you get that growth from the transition to a virtual internet experience”

The analyst sees Meta Platforms as a strong rebound play despite its significant stock plunge, citing its unrivaled reach with over 3 billion users across its platforms. While facing temporary challenges from Apple's privacy changes and reduced ad spending, the company's market dominance and expected future growth in sales and profits, coupled with its leadership in the VR market through Oculus Quest, make it an attractive investment at its lowest historical price-to-sales valuation.

“these shares here are trading for just two and a half times sales the lowest in the company's history and a 65 discount to that five-year average.”

The YouTuber recommends Meta Platforms (META), arguing that despite recent challenges like Apple's privacy changes and ad spending drops, these are temporary. He emphasizes Meta's unrivaled reach with over 7 billion active users across its platforms and expects sales to grow 11% annually and profits by 19%. The stock is trading at a historical low valuation of 3.1 times sales, with analysts projecting an 88% upside.

“Shares are down 61 percent and for the first time people are asking those existential questions about the platform whether it can survive but really are you using Facebook any less than you used to I know I'm not in even if there are a few that move on to other platforms three billion monthly users there's a market position the company can leverage to to transform itself out of these challenges”

The YouTuber recommends Meta as part of an AI tech portfolio, citing its significant commitment to AI infrastructure. He believes that the substantial capital expenditure by major tech companies like Meta in 2024-2025 will translate into increased revenues, earnings, and higher stock prices in 2026, which he feels Wall Street has not fully priced in.

“The names you should be considering. Nvidia, Meta, Google, Taiwan Semiconductor, Broadcom, Palanteer, AMD, Super Micro. Not hype, not hype chasing. Just clear conviction on companies building the AI backbone.”

The YouTuber argues that Meta's recent 11% stock drop was an irrational market reaction to a one-time, non-cash tax charge, not a sign of business weakness. He highlights strong underlying fundamentals, including significant ad revenue growth, the success of Reels, and robust free cash flow, driven by effective AI monetization. He believes the market is mispricing the stock due to misunderstanding the earnings report, presenting a buying opportunity.

“This wasn't a bad quarter. It was one of the best quarters in company history, disguised by a single tax adjustment. And that's why this is a buying window, not because it's cheap, because it's mispriced.”

The YouTuber considers Meta a core long-term holding due to its strong user base, advertising machine, and continuous algorithmic and AI development. He indicates he would consider buying more if the stock pulls back 20% to the $637 mark, noting strong support at $71 based on volume profile.

“If the stock pulled back that far, I would definitely consider buying it.”

The YouTuber is holding Meta, which he considers a 'cash flow fortress' with strong quarterly revenue growth (22% YoY) and high net profit margins (40%). He notes that Meta is funding its AI future from ad revenue and that engagement is rising. He suggests buying if it consolidates with strong support near $71.

“I'm in Meta at $558. I'm up over 30% and I'm holding. This is the stable compounder in my portfolio. No, it won't 5x in 12 months, but it'll anchor your portfolio while the high-f flyers do their thing.”

The analyst argues Meta is a long-term buy due to its strong core advertising business, which is efficiently monetizing attention at a global scale with significant operating income and margins. They highlight Meta's effective use of AI to drive revenue and improve ad performance, despite the ongoing losses from Reality Labs and the unproven monetization of Llama. The analyst believes the core business's profitability allows Meta to invest in future growth while compounding cash.

“Meta is a long-term buy. Let me make this simple. I bought Meta back in April, and if you're in my Patreon, hopefully you did as well. I'm up 48%. Not because I timed it perfectly, because I understood what I was buying. And after this quarter, that conviction just got stronger.”

The YouTuber identifies Meta as an 'AI advertising monster' that is already generating billions in ad revenue through its AI engine, unlike many companies pitching future potential. They highlight Meta's elite net income margin (37.9%) and its ability to monetize attention from its vast user base and 200 billion daily Reels views, making the 21% dip from highs an attractive entry point.

“I love meta at this price with this setup it's the rare mix of cash flow growth and AI leverage this isn't a long shot this is a freight train and you either step on board or you get run over trying to time it.”

The YouTuber is bullish on Meta, citing its strong fundamentals, including a 37.9% net income margin, and its dominant position in the attention economy with 3.35 billion users across its apps. They emphasize Meta's AI advancements, particularly with Reels and monetization efforts in WhatsApp and Messenger, which are driving engagement and revenue growth. The stock is currently down 21% from its highs and trading near a critical support level of $590, which they view as a prime entry point, supported by Morningstar's raised fair value of $770.

“I'm covering meta today because I'm bullish and if you're serious about building real wealth this is a stock you should be looking at right now”

The YouTuber notes that Meta has recently experienced a slight decline, bringing its valuation to a P/E of 27 (forward P/E of 22) with over 20% revenue growth. He sees this as an attractive entry point, especially given its potential to benefit from the AI hype.

“Und selbst eine KI-Aktie namens Meta hat zum letzt etwas verloren und steht jetzt bei einem Kursgewinnverhältnis von 27, erwartet 22 bei über 20% Umsatzwachstum und eben auch einer Chance ja von diesem KI Hype zu profitieren.”

The YouTuber holds Meta, having invested in it previously. He notes that while the stock has seen a significant turnaround, much of his investment thesis has already played out. He acknowledges that the current valuation is no longer in 'value territory' and that the stock's rise is largely due to a shift in market sentiment rather than a dramatic change in fundamentals, though he does highlight some positive developments like efficiency measures and new product launches.

“ich habe tatsächlich in Meter investiert das erste Mal Ende 2018 dann mal nach einem Rückgang zum Corona Crash und dann hier anfangen 2020 noch mal aber tatsächlich in diesem Absturz nicht noch mal also den Einstieg habe ich in dem Sinne jetzt auch verpasst aber meine meta-position war da schon eine der größeren”

The analyst acknowledges Meta's strong recent performance and positive developments like Reels monetization and AI investments. However, the significant losses in Reality Labs (Metaverse) and the current P/E of 26, which is no longer a 'value' price, make the stock less compelling despite potential future growth.

“Meta ist keine klassische value Aktie mehr das war sie durchaus vor einem Jahr aber jetzt liegt sie bei einem kursgewinnverhältnis von etwa 26”

The YouTuber is invested in Meta and continues to hold, citing a favorable risk-reward ratio at his entry points. He acknowledges the company's strong profitability, massive share buybacks, and positive trends in some metrics, but also highlights significant risks like the high investment in the metaverse and potential for negative news.

“ich bin tatsächlich auch in Meter investiert und ich zeige gerne mal wann ich investiert habe weil das ist auch ein wichtiger Kontext weil ich bin auch nicht irgendwie zu den höchsten eingestiegen zum Glück nicht aber da passt du für mich das Chance Risiko Verhältnis auch nicht ganz”

The analyst argues that Meta has significant untapped value due to inefficiencies in its operations, particularly in employee count and investment spending. By reducing staff by 20%, cutting CapEx by $5 billion, and limiting Metaverse investments to $5 billion annually, Meta could double its free cash flow to over $40 billion, unlocking substantial shareholder value. The core advertising business remains highly profitable, and Meta possesses strong AI capabilities.

“Wenn diese Unternehmen tatsächlich in einen deutlichen Modus schalten würden glaube ich würden sich gerade die Gewinne enorm positiv verändern was sozusagen die Bullen these dahinter ist”

The analyst is invested in Meta and believes the current valuation is relatively cheap, with a P/E ratio of 12-13 and a P/CF under 10. However, he is skeptical about a pure buy-and-hold strategy due to the high risks associated with the metaverse investments and declining margins. He sees potential in monetizing WhatsApp and social commerce but is cautious about the long-term success of the metaverse bet.

“Ich bin aber tatsächlich auch in Meta investiert schon seit einigen Jahren das heißt ich lege auch mit der Aktie noch im Plus aktuell glaube ich auch dass die Bewertung relativ günstig ist aber ich bin tatsächlich skeptisch bei einer rein buy and hold Strategie auf Meta zu setzen weil es da viele mögliche Ergebnisse gibt und würde die Position aufgrund des Risikos auch nicht zu groß werden.”

The YouTuber holds Facebook shares, acknowledging significant unrealized losses. He admits to not having sold at an all-time high due to being busy and now finds it difficult to sell due to the large losses. He hopes the metaverse initiative will succeed, despite his personal investment strategy favoring passive, diversified portfolios over individual stocks.

“ich bring es einfach nicht übers herz hier zu verkaufen und hoffe deswegen dass das netzwerk von mark zuckerberg der absolute durchbruch wird und es nicht immer weiter bergab geht”

The analyst recommends buying Meta (Facebook) due to its current undervaluation, trading at an 8x forward earnings multiple compared to a historical average of 23x. Despite recent revenue and operating margin declines, the company remains highly profitable, has a strong cash position, zero net debt, and an active share repurchase program. He forecasts a 17% annualized return over 10 years based on conservative earnings and multiple assumptions, making it a 'trifecta' opportunity with earnings growth, market multiple expansion, and share buybacks.

“I would be interested in buying this stock if based on this forecast which I think is a conservative number hair cutting their earnings 33% is a monster cut and then growing at five percent after that a long time if the stock price currently pays a better Market return based in this forecast I'd be interested in buying this stock.”

The analyst believes Meta Platforms (Facebook) is a strong buy due to its robust free cash flow generation, zero net debt, and current undervaluation following a 40% stock drop. Even with conservative 5% annual growth and a modest market multiple expansion, the stock offers a potential 17% internal rate of return over 10 years, significantly outperforming the S&P 500.

“I think the stock is well priced because with a moderate amount of growth very conservative amount of growth five percent and a small increase in the market multiple you can get a double digit nearly double digit return excuse me it is double market beating 17 is beating the s p at 10 by 70 percent so that I think there's a chance that you can beat the beat the beat the stock market with this one.”