China Merchants Securities: The first "overweight" rating on Meta with a target price of $721

Jinshi data news on January 10th, CMB Securities published a report, first gave Meta Platforms (META.O) a 'buy' rating with a target price of $721. The report pointed out that Meta is the leading company in the global social media industry, with unique diversified sources of income, revenue potential brought by AI applications, and strong profitability and financial condition. The bank is optimistic about Meta's advertising business benefiting from AI, with profit margins expanding through continuous efficiency following and reducing the drag from Reality Labs. It believes that the current valuation of 18 times the 2025 fiscal year price-earnings ratio is attractive, as the company has a strong market position, many rise opportunities, and considerations for its ability to benefit from AI development.

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