Meta Platforms (META) stock jumped following a positive Q4 2024 earnings report from the Facebook creators on Wednesday. The company’s net income in the final quarter of 2024 jumped 49%, giving its stock a solid boost. In the last 24 hours, META is up nearly 11 points and over 7% since Sunday.
Sales in the fourth quarter jumped 21% year over year while Meta’s net income grew to $20.8 billion from $14 billion a year earlier. In the earnings call following the announcement Wednesday, CEO Mark Zuckerberg said “We now have a U.S. administration that is proud of our leading companies, and prioritizes American technology winning.” He also added that he expects 2025 to redefine the company’s relationships with governments. “I am optimistic about the progress and innovation that this can unlock.”
Meta saw immense success from advertising and AI. Meta’s AI chatbot has surpassed 700 million monthly active users, Chief Financial Officer Susan Li told analysts, up from 600M in December. Zuckerberg said he expects Meta AI to reach one billion users this year. “Once a service reaches that kind of scale, it usually develops a durable, long-term advantage.”
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Meta’s work in AI also hasn’t gone unnoticed and has investors bullish on the company’s long-term AI potential. Meta has been pushing its family of Llama-branded LLM models as an open-source alternative to technologies from OpenAI, DeepSeek AI, and Google. “There’s going to be an open-source standard globally,” Zuckerberg said Thursday. “For our own national advantage, it’s important that it’s an American standard.”
Looking ahead to Q1 2025, Meta said it expects first-quarter revenue to be in the range between $39.5 billion and $41.8 billion. The midpoint of that figure trailed analysts’ expectations of first-quarter revenue of $41.73 billion. Multiple institutions, including Goldman Sachs and TD Cowen, have updated their projection to give Meta stock a buy rating. Following the stock hitting a new ATH recently, investors are bullish on the company’s future.