Truist Lifts Meta Price Target to $900, Citing AI-Driven Ad Strength and Upbeat Guidance
In a bullish move for the social media giant, analysts at Truist Securities have increased their price target on Meta Platforms (NASDAQ: META) from $875 to $900, reaffirming their Buy rating on the stock. The revision comes in the wake of the company's solid fourth-quarter earnings and an optimistic forecast for the current quarter.
In a research note to clients, Truist analyst Youssef Squali highlighted that Meta's financial momentum is being powered by "robust advertising demand," which is itself fueled by significant artificial intelligence advancements. The company's AI investments are paying dividends across its ad recommendation systems, monetization efficiency, and overall user engagement, creating a virtuous cycle for revenue growth.
The raised target underscores a growing Wall Street consensus that Meta's strategic pivot towards efficiency and its heavy bet on AI infrastructure are translating directly into financial outperformance. The company's guidance suggests this trend has continued into the first quarter of the year, defying some concerns about broader digital ad market volatility.
Market Voices: Reactions to the Upgrade
David Chen, Portfolio Manager at Horizon Capital: "This is a logical adjustment. Meta has demonstrated remarkable execution. Their AI isn't just a buzzword; it's actively optimizing ad delivery and measurement, which advertisers are rewarding with budgets. The $900 target reflects sustained, not just seasonal, strength."
Rebecca Shaw, Independent Tech Analyst: "While the numbers are impressive, I'm cautious. This target prices in perfection. Meta's valuation is becoming rich, and its fortunes are heavily tied to a cyclical ad market. Any economic softness could hit those AI-driven 'robust' demands faster than Truist anticipates."
Marcus Johnson, Retail Investor & Commentator: "Finally, the street is catching up! The shortsighted focus on the Metaverse spend blinded everyone to the cash engine that is Core Apps + AI. $900 is still conservative. This AI advantage isn't a one-quarter story; it's a multi-year moat they're building. Anything below $1000 is a discount."
Priya Mehta, Senior Strategist at FinSight Advisors: "The upgrade is less about a single price point and more about validation of the thesis. Meta has successfully moved from a narrative of unchecked spending to one of disciplined growth powered by technology. It sets a positive tone for the entire tech sector reliant on ad revenue."
This analysis is based on publicly available research and market commentary.