Meta: up sharply, broker raises target

(CercleFinance.com) - Meta Platforms gained nearly 3% in New York as Jefferies reaffirmed its 'buy' recommendation on the stock with a price target raised from $550 to $585, seeing the social networking giant 'rising above its advertising peers with a mega gap'.


Based on its updated market share analysis, the broker believes Meta could capture 50% of the industry's advertising dollar earnings this year, which would be its highest level ever, and well above its 33% in 2023.

In 2024, Jefferies estimates that advertising sales could grow by 20% or more (versus an industry average of 9%), as the scaling of generative AI advertising tools complements Meta's Advantage+ suite of products, 'already best-in-class'.

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