Meta Platforms Inc (NASDAQ:META) is one of billionaire David Abrams' top stock picks with upside potential. **** ysts project more than 40% upside for Meta stock from the current level. This social media stock is popular with elite investors, as some 262 hedge funds own Meta shares.
On July 2, Wolfe Research reaffirmed its Outperform rating on Meta Platforms Inc (NASDAQ:META) stock with a price target of $800 on the shares. The brokerage updated its call on Meta stock following a Bloomberg report that Meta is building a cloud infrastructure business similar to Amazon Web Services, Google Cloud, and Microsoft Azure. According to the report, Meta plans to sell computing power and models to AI developers to capitalize on the growing demand for AI compute capacity.
Wolfe Research believes that Meta's potential cloud offering could provide a big boost to the company's earnings. The brokerage estimates a 20% lift to the EPS for every gigawatt of cloud capacity that is monetized at a rate of $25 billion. However, the brokerage noted that Meta may need to raise capital to fund its cloud infrastructure business. It estimates the company's 2027 capex at $200 billion.
Meta Platforms Inc (NASDAQ:META) owns a portfolio of social media platforms, including Facebook, WhatsApp, and Instagram. The company primarily makes money through selling ads, enabling businesses to reach billions of potential customers.
While we acknowledge the potential of META as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
On July 2, Wolfe Research reaffirmed its Outperform rating on Meta Platforms Inc (NASDAQ:META) stock with a price target of $800 on the shares. The brokerage updated its call on Meta stock following a Bloomberg report that Meta is building a cloud infrastructure business similar to Amazon Web Services, Google Cloud, and Microsoft Azure. According to the report, Meta plans to sell computing power and models to AI developers to capitalize on the growing demand for AI compute capacity.
Wolfe Research believes that Meta's potential cloud offering could provide a big boost to the company's earnings. The brokerage estimates a 20% lift to the EPS for every gigawatt of cloud capacity that is monetized at a rate of $25 billion. However, the brokerage noted that Meta may need to raise capital to fund its cloud infrastructure business. It estimates the company's 2027 capex at $200 billion.
Meta Platforms Inc (NASDAQ:META) owns a portfolio of social media platforms, including Facebook, WhatsApp, and Instagram. The company primarily makes money through selling ads, enabling businesses to reach billions of potential customers.
While we acknowledge the potential of META as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
27 days ago
