META•META•Meta Platforms' shares have dropped 9% year-to-date, underperforming all Magnificent Seven peers after a 5.1% one-day fall following the announcement of 10% workforce cuts affecting 8,000 employees. The company rolled out subscription tiers for Instagram, Facebook and WhatsApp and plans to open its cloud infrastructure to external businesses.
Meta Platforms' stock has declined 9% year-to-date, the weakest performance among the Magnificent Seven cohort, and fell 5.1% in a single session without a clear catalyst. The shares trade at 18.3 times 12-month forward earnings, the lowest multiple in the group, while the RSI stands at 41.6, indicating neutral momentum.
Last month, Meta cut approximately 8,000 positions, representing about 10% of its workforce, while internally reassigning a similar number of employees. The move aims to reduce operating expenses and streamline resources ahead of anticipated growth investments.
Meta introduced paid subscription tiers for Instagram, Facebook and WhatsApp, seeking to diversify revenue streams beyond advertising. The company also outlined plans to grant external businesses access to its cloud computing infrastructure, targeting enterprise clients with scalable AI and data services.
Analyst coverage remains overwhelmingly positive, with 57 of 64 ratings at Buy or higher and an average price target of $826.75, implying a 38% upside. Retail investor sentiment has turned extremely bullish, with trading communities viewing recent pullbacks as buying opportunities.
