Meta Platforms delivered earnings that beat Wall Street estimates on Wednesday, all while providing a bullish outlook on its future in AI. The Mark Zuckerberg brainchild reported earnings per share (EPS) of $8.88 on revenue of $59.9 billion, ahead of the $8.16 and $58.4 billion analysts were expecting based on Bloomberg analyst consensus estimates. Meta also doubled down on its AI spending, pledging to spend more on AI development in 2026.
Doing so has served Meta well in the past year, as its revenue has climbed in most quarters since January 2025. However, its stock has fluctuated during the same period. Meta’s recent growth also comes amidst a turbulent market, particularly affected by disappointing earnings from Microsoft, which dragged down tech stocks. The dedication to AI has seen concern amongst some firms due to putting all eggs in the AI basket. However, Meta mantains an AI-first outlook in 2026.
Management leaned into that message on the Q4 2025 earnings call, outlining a capital expenditure range of $115 billion to $135 billion for the full year, above the $110.6 billion analyst average cited by Bloomberg. Chief Executive Officer Mark Zuckerberg framed the strategy as a deliberate effort to front-load computing capacity, infrastructure, and talent in preparation for what he described as a long-term push toward advanced AI capabilities.
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Wall Street analysts are optimistic about Meta stock’s growth potential, with all top analysts maintaining a Buy or Outperform rating. Price targets are significantly above the current market price, indicating confidence in future growth. Most analysts agree on Meta’s growth potential, with price targets ranging from $800 to $935. Guggenheim and TD Cowen excel in price target accuracy, while Tigress Financial is bullish with a Strong Buy rating and the highest target of $935.