Meta Platforms Rolling Out Ad-Free Subscription in EU Is A Revenue-Neutral Strategy: Citi
Portfolio Pulse from Anusuya Lahiri
Citi analyst Ronald Josey reiterated a Buy rating on Meta Platforms, Inc (NASDAQ:META) with a price target of $425. Meta announced advertising-free subscription tiers for users in the EU, EEA, and Switzerland, effective in November. The subscription service is expected to be revenue-neutral as Meta plans to continue offering its core ad-supported service to most EU users. The subscription tiers are priced at €9.99/month on the web or €12.99/month on mobile.
October 31, 2023 | 6:45 pm
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Meta Platforms, Inc has announced an ad-free subscription service for EU users, which is expected to be revenue-neutral. Citi analyst Ronald Josey has reiterated a Buy rating on the company with a price target of $425.
The announcement of an ad-free subscription service for EU users by Meta Platforms, Inc is a significant development. However, as the company plans to continue offering its core ad-supported service to most EU users, the impact on revenue is expected to be neutral. This is reflected in the unchanged Buy rating and price target from Citi analyst Ronald Josey.
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