Meta Platforms, Inc. (META)
Communication Services · Internet Content & Information · NASDAQ
$725.93
+0.10%
Investru Score
71.4 / 100
Strong
Why is META moving?
META is little changed today (+0.10%).
Recent coverage: Mark Zuckerberg's Muse Could Charge You for Saving You Money — META President Reveals AI Agent's Potential Monetization Model
Business overview
- The company operates within the Communication Services sector under the Internet Content & Information industry.
- It maintains a prominent market footprint supported by high profitability metrics.
- Earnings quality stands at 1.92, indicating strong cash backing for reported earnings.
These characteristics demonstrate a resilient core business model backed by high earnings conversion.
Bull case
The combination of 22.2% top-line revenue growth, an 82.0% gross margin, and an exceptionally strong balance sheet with high interest coverage provides a foundation for continued outperformance. Furthermore, robust cash generation and strong return on equity metrics indicate high capital allocation efficiency.
Bear case
A continued contraction in EPS growth, currently at -1.6%, could weigh on investor sentiment if it persists alongside valuation pressures. Additionally, a sideways technical trend could signal limited near-term price appreciation until earnings growth reaccelerates.
META’s Investru Score changed +7.3 points recently. Want to know exactly what changed and why? That’s a Pro feature →
Score breakdown
- Financial Quality
- 74
- Growth
- 47
- Profitability
- 71
- Balance Sheet
- 84
- Valuation
- 71
- Momentum
- 96
Score history
+7.3 over the last 32 days, driven mainly by momentum (+73).
Financial quality
- Return on invested capital (ROIC) is 21.9%.
- Return on equity (ROE) is 27.8%.
- Free cash flow margin is 22.9%.
Together, these figures indicate the company efficiently allocates capital to generate shareholder value and converts earnings into substantial cash flow.
- ROIC
- 21.9%
- ROE
- 27.8%
- FCF Margin
- 22.9%
- Free Cash Flow (TTM)
- $46.1B
- Earnings Quality (OCF ÷ Net Income)
- 1.9x
Valuation
- P/E ratio is unavailable.
- Forward P/E is 22.28.
- Trailing PEG is unavailable.
- Forward PEG is unavailable.
- Median PEG is unavailable.
- EV to EBITDA is 0.22.
- Price-to-sales ratio is 0.0.
- Free cash flow yield is unavailable.
These available valuation indicators suggest reasonable pricing relative to forward earnings, though some traditional valuation metrics are not provided.
- P/E (TTM)
- Data unavailable
- Forward P/E
- 22.3x
- PEG (P/E ÷ EPS Growth)
- Data unavailable
- Company Median PEG
- Data unavailable
- Price / Sales
- 0.0x
- EV / EBITDA
- 0.2x
- FCF Yield
- Data unavailable
Key risks
- EPS growth year-over-year is negative at -1.6%, which could signal ongoing profit pressures if costs continue to outpace earnings gains.(Probability: Medium · Impact: Medium)
- Technical trend is currently classified as sideways despite price being above moving averages, indicating potential consolidation or lack of clear directional continuation.(Probability: Low · Impact: Low)
- Forward P/E stands at 22.28, which introduces valuation sensitivity if forward earnings expectations are missed.(Probability: Low · Impact: Medium)
Latest earnings
- Q2 FY26 EPS
- $6.18
- Estimate
- $7.36
- Surprise
- -16.0%
- Earnings quality stands at 1.92, indicating that net income is well-supported by actual cash generation.
- EPS growth year-over-year is -1.6%.
These figures highlight a temporary dip in per-share earnings growth despite solid underlying cash earnings quality.
SEC filings
- 10-Q · Q2 FY26 · period ended 2026-06-30Filed 2026-07-30
- 10-Q · Q1 FY26 · period ended 2026-03-31Filed 2026-04-30
- 10-K · FY25 · period ended 2025-12-31Filed 2026-01-29
- 10-Q · Q3 FY25 · period ended 2025-09-30Filed 2025-10-30
- 10-Q · Q2 FY25 · period ended 2025-06-30Filed 2025-07-31
- 10-K · FY24 · period ended 2024-12-31Filed 2025-01-30
- 10-K · FY23 · period ended 2023-12-31Filed 2024-02-02
- 10-K · FY22 · period ended 2022-12-31Filed 2023-02-02
- 10-K · FY21 · period ended 2021-12-31Filed 2022-02-03
Event filings (8-K) aren't covered by this page's data source yet — only 10-K/10-Q are shown above.
Market cap $0 · 52-week range $520.26–$779.82 · market data as of Oct 1, 2026, 4:00 PM ET · latest SEC filing: 2018-10-31
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Analyze META with Investru AINot investment advice. Investru AI summarizes public data and AI-generated analysis for informational purposes only.