Meta Slipped Back Below $600 Before Wednesday's Report. It Now Trades at About 22 Times Earnings. Here's What Investors Should Know.
The multiple has come down while the growth rate has gone up. Wednesday decides whether that gap is an opportunity or a warning.
Overview
Meta Platforms (NASDAQ: META) closed Friday at $595.19, back under $600 and about 25% below its 52-week high of $796.25. At that price, the social media company trades at about 22 times earnings -- a lower multiple than the S&P 500's (SNPINDEX: ^GSPC) roughly 28.5. Meta reports second-quarter results after the close on Wednesday, July 29.
What the market is marking down, however, isn't the advertising business.
Details
First-quarter revenue rose 33% year over year to $56.31 billion -- an acceleration from the 22% growth Meta posted for all of 2025. Ad impressions across its apps climbed 19%, average price per ad rose 12%, and family daily active people averaged 3.56 billion, up 4%.
Source
Originally published at www.fool.com.