Zacks Investment Ideas feature highlights: Meta Platforms, Alphabet, Amazon and Snap

For Immediate ReleaseChicago, IL – April 30, 2025 – Today, Zacks Investment Ideas feature highlights Meta Platforms META, Alphabet GOOGL, Amazon AMZN and Snap SNAP.META Q1 EPS Preview: Expectations & AI InitiativesMeta Platforms, the world’s largest social media platform operator, will report earnings on Wednesday, April 30th, after the stock market closes. Evolving from its original Facebook website, Meta Platforms has expanded from a once-obscure and one-dimensional company to a wide-ranging social media operator through key strategic acquisitions such as the Instagram photo and video sharing app and the wildly popular and internationally used WhatsApp messaging platform.Roughly 97% of Meta’s revenues are derived from advertising. Though the company faces tough competition from Alphabet, Amazon and Snap, Meta has grown over the years through synergies within its business and through third parties, innovation, and its massive user base. In addition, Meta is working on breaking into the virtual reality (VR) market with its Oculus division.Meta Earnings PreviewYear-to-date, META shares have succumbed to the intense selling in richly valued big tech stocks within the “Magnificent 7” and are down ~8%. However, META shares have pared losses recently, and in context, the losses are relatively small. For example, over the past year, shares are up ~27%, and over the past five years, they have soared ~171%.META Implied Move (Based on Options Market)The options market implies a rather large move of plus or minus 9.2%.META Earnings ExpectationsZacks Consensus Analyst Estimates suggest that earnings will grow roughly 10.83% for the current quarter and will be flat for 2025.META Has a Bullish EPS Surprise HistoryWhile META earnings have slowed recently, the company has a long history of beating Wall Street expectations. META has delivered positive surprises in nine consecutive quarters, and over the past four quarters, the social media giant has beaten expectations by an average of 13.77%.META’s Valuation is CheapThe correction in META shares has made the stock cheaper from a valuation perspective. Shares are trading at ~23x earnings and are hovering near the cheapest levels in two years.Meta is Leveraging AIWhen most investors think of artificial intelligence, they mainly focus on large language models and chatbots such as ChatGPT. That said, many investors underestimate companies like Meta, which leverage AI in unique ways. For instance, META has integrated AI into WhatsApp and Messenger, added visual creating tools for posts on Facebook and Instagram, and is using it to optimize ads. Meta is expected to introduce AI for customer support, video, and multi-modal experiences in time.AI Boosts Instagram ReelsInstagram has turned into a cash cow for Meta. Roughly 40% of the content Instagram users see is curated through AI. Through AI optimization, Instagram Reels (short videos) success has led to an increase in time spent on the app by 24%.Bottom LineThough Meta was caught in the recent tech sell-off, the company has established itself as a leader in the social media realm. Its strong earnings track record and forward-looking approach to AI integration signals a bullish outlook for the company.Why Haven't You Looked at Zacks' Top Stocks?Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.Today you can access their live picks without cost or obligation.See Stocks Free >>Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.comhttps://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 256 positions with double- and triple-digit gains in 2024 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Amazon.com, Inc. (AMZN): Free Stock Analysis Report Alphabet Inc. (GOOGL): Free Stock Analysis Report Snap Inc. (SNAP): Free Stock Analysis Report Meta Platforms, Inc. (META): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks