Zinger Key Points
- Meta’s stock faces earnings with strong ad momentum but weak near-term technicals.
- Stephanie Link calls META cheap at 17x 2026 earnings with 40% operating margins.
- Feel unsure about the market’s next move? Copy trade alerts from Matt Maley—a Wall Street veteran who consistently finds profits in volatile markets. Claim your 7-day free trial now.
Meta Platforms Inc. META is set to release its first-quarter earnings report, with Wall Street on edge and charts sending mixed signals.
Meta stock has soared 27% over the past year but has been stumbling in 2025, down more than 8% year to date and over 4% in the past month.
Now, with earnings due Wednesday after the bell, investors are deciding whether Meta's momentum can return – or whether it’s stuck in a sideways scroll.
Earnings Incoming: Will Ad Strength Power Meta's Next Move?
Expectations are lofty. According to Benzinga Pro data, Wall Street analysts expect Meta to post earnings per share of $5.28 on $41.39 billion in revenue. Hightower's chief investment strategist, Stephanie Link, is optimistic. She's betting Google's strong ad showing signals good news for Meta, which derives a staggering "96% of its revenues" from advertising.
Valuation Vs. Volatility: Stephanie Link Sees Growth At A Discount
Link is calling for "20% total return growth and 40% operating margins" powered by Meta's massive 3.3 billion-user base.
And valuation-wise? "Stock trades at 17x 2026 estimates, which seems cheap to me – as growth continues at a reasonable price," she told Benzinga via email.
Mixed Signals: META Stock Technical Indicators Tell A Split Story
Chart created using Benzinga Pro
Still, technical signals are throwing up a few caution flags. Meta stock, at $549.74 sits comfortably above its eight-day and 20-day simple moving averages – both bullish signals – but it's below its 50-day and 200-day averages, which paints a bearish picture in the longer term. The Moving Average Convergence Divergence (MACD) is a negative 18.13, and the Relative Strength Index (RSI) sits at a neutral 49.78 – suggesting the stock's energy is, for now, in limbo.
In short, Meta's story is stuck between a fundamental feel-good narrative and a technically uncertain tape. With earnings on deck and ad momentum behind it, Wednesday’s results could be the spark that decides whether Meta scrolls higher—or stays stuck in the feed.
Read Next:
Photo: Shutterstock
Edge Rankings
Price Trend
© 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.