META Analysis: Price Target Raised to $390

FXOpen

Last week, the Meta Connect event took place, where the following were presented:
→ new Ray-Ban Meta Smart Glasses with a camera and microphones, including for broadcasting on social networks. The price of the gadget is USD 299;
→ Meta Quest 3 virtual reality helmet priced at USD 499;
→ AI characters for social networks, as well as Meta AI chatbot.

Overall, the products were received favourably. And now analysts are making predictions about how this will affect the stock price. Thus, Truist Securities analyst Youssef Squali raised his target price to USD 390 per META share, expecting that:
→ revenue will increase by 21% year on year;
→ the company will receive many benefits through the implementation of AI (for example, Emu — an image generation model; Studio AI — a platform for developers that allows one to create new and customized AI).

Add to this that the increase in revenue should be facilitated by the company’s intention to offer a subscription fee of USD 14 per month for using Instagram and Facebook, which will allow one to disable advertising.

The daily chart of META stock, meanwhile, shows a mixed picture.

Bullish arguments:
→ META stock is stronger than the S&P 500 market;
→ the price forms a movement within the ascending channel;
→ the price formed quick energetic rebounds from the lower border of the channel, thereby indicating the strength of demand.

Bearish arguments:
→ On July 27, when the high of the year was formed, extremely high volumes were recorded on the NASDAQ exchange. They can be interpreted as the desire of large players to fix profits from long positions. Since then, the July 27 candle area has acted as resistance. Price action near the USD 310 level (roughly the low of the July 27 candlestick) confirms bearish activity.

It is possible that in the coming weeks, the forces of supply and demand will balance out in the market, however, if the fundamental backdrop for META stock remains strong, it will help the bulls prove their superiority in the long term.

Buy and sell stocks of the world's biggest publicly-listed companies with CFDs on FXOpen’s trading platform. Open your FXOpen account now or learn more about trading share CFDs with FXOpen.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Latest from Shares

After Earnings Report, NVDA Stock Price Exceeds $1,000 Coinbase (COIN) Stock Price Holds at Key Support Level The Share Price of Alibaba (BABA) Has Reached Its Yearly High The Stock Price of PepsiСo (PEP) Is Retracting from Its Yearly High Moderna goes AI and experiences share price rally

Latest articles

Weekly Market Wrap With Gary Thomson: Nasdaq 100, NVIDIA, EUR/USD, Gold price
Financial Market News

Weekly Market Wrap With Gary Thomson: Nasdaq 100, NVIDIA, EUR/USD, Gold price

Get the latest scoop on the week's hottest headlines, all in one convenient video. Join Gary Thomson, the COO of FXOpen UK, as he breaks down the most significant news reports and shares his expert insights. Read the latest news

Analytical Tesla Stock Predictions for 2024, 2025 – 2030 and Beyond
Trader’s Tools

Analytical Tesla Stock Predictions for 2024, 2025 – 2030 and Beyond

Tesla's stock has experienced significant volatility since its IPO in 2010, driven by its significant technological advancements and status as a leading electric vehicle producer. This article explores Tesla's recent price history, analyses its outlook for 2024 and 2025, and

Commodities

Gold Price Drops Over 3.6% in 2 Days

The price of gold has fallen by more than 3.6% over 2 days, as indicated by today's XAU/USD chart. The day before yesterday, at the opening of the daily candle, the price of gold was $2421 per ounce,

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 60% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.