Meta Has Rebounded But The Metaverse Is Still Far From Reality
Portfolio Pulse from Upwallstreet
Meta Platforms reported double-digit revenue growth for Q4 2021 and better than expected Q3 guidance, causing its stock to rise 7% in extended trading. The company's net income rose to $7.79 billion, with earnings per share of $2.98, exceeding Refinitiv's expectations. However, the Reality Labs unit is still struggling, posting a loss of $3.7 billion. Meta's CEO, Mark Zuckerberg, has initiated cost-saving efforts, including 21,000 job cuts.
July 27, 2023 | 1:48 pm
News sentiment analysis
Sort by:
Descending
POSITIVE IMPACT
Meta Platforms reported strong Q4 2021 results and Q3 guidance, causing its stock to rise. However, the struggling Reality Labs unit could be a concern.
The strong financial results and positive Q3 guidance are likely to boost investor confidence in Meta Platforms, leading to a potential increase in its stock price. However, the ongoing struggles of the Reality Labs unit could be a concern for investors, potentially limiting the stock's gains.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
NEUTRAL IMPACT
Apple's iOS privacy changes previously damaged Meta Platforms' ad targeting abilities, but Meta has since rebounded.
While Apple's iOS privacy changes previously had a negative impact on Meta Platforms, the company's recent strong performance suggests that it has managed to overcome this challenge. This is unlikely to have a significant impact on Apple's stock price.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 50
NEGATIVE IMPACT
Snap Inc's stock plunged 17% upon its earnings report, in contrast to Meta Platforms' positive performance.
The negative reaction to Snap Inc's earnings report suggests that investors are disappointed with the company's performance, which could lead to a decrease in its stock price.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 50