Ackman Builds $2B Meta Stake as Stock Reverses After 10% Earnings Pop
Meta Platforms posted strong January earnings, driving a 10% stock surge before it retreated to close near $640 and reaffirmed 30% revenue growth guidance. Bill Ackman’s Pershing Square has amassed a $2 billion position—equivalent to 10% of the company’s capital—at an average $625 share price, underscoring confidence in its AI-driven advertising strategy.
1. Earnings Performance
Meta Platforms reported strong January earnings, sending shares up over 10% before profit-taking tempered gains to close near $640. The company reaffirmed its guidance of 30% revenue growth, citing robust digital ad demand and ongoing investments in artificial intelligence.
2. Ackman’s $2 Billion Stake
Pershing Square Capital Management has built a $2 billion position in Meta Platforms, representing roughly 10% of its capital, acquiring shares at an average price of $625. This significant investment by Bill Ackman reflects substantial institutional faith in the company’s long-term outlook.
3. Strategic Implications
The stake underscores confidence in Meta’s AI-driven advertising strategy and its capacity to monetize new AI capabilities across its social platforms. Such a high-profile vote of confidence may attract additional institutional investors and support the stock amid broader market volatility.