Meta Faces Slight Selling Pressure Ahead Of Q2 Earnings: Bearish Charts Suggest 20% Upside Potential

Wall Street expects Meta Platforms Inc META to report $4.72 in earnings per share and $38.3 billion in revenues when the company releases second-quarter financials after market hours on Wednesday.

The stock is up 45.38% over the past year — 30.86% year-to-date.

Meta Platforms’ current stock price of $463.22 reflects a strongly bearish trend, as it sits below its 5, 20, and 50-day exponential moving averages. This signals slight selling pressure in the market. See below.

Chart created using Benzinga Pro

The eight-day simple moving average (SMA) is at $468.57; the 20-day and 50-day SMAs are $490.23 and $491.29, respectively.

All three indicators suggest bearish momentum around Meta stock.

2 Indicators Hint At Possible Reversal In Meta Stock Trend

Furthermore, the 200-day SMA is positioned at $431.72, indicating a bullish signal over the long term, given the current price is above this level.

Chart created using Benzinga Pro

The Moving Average Convergence Divergence (MACD) indicator reads -10.57, reinforcing the bearish sentiment.

Meta’s Relative Strength Index (RSI) is 39.79, which indicates that the stock is approaching oversold territory, suggesting that selling momentum may soon weaken.

The Bollinger Bands (25) range from $443.04 to $545.41, and with the stock price trading in the lower band, this supports a bearish perspective, indicating potential downward momentum.

Overall, Meta stock's technical indicators are aligned towards a bearish outlook, though the RSI and 200-day SMA hint at a possible opportunity for reversal if buying pressure increases.

Read Also: Meta Hit with Largest-Ever State Privacy Fine – Texas AG Secures $1.4B Settlement

Meta Analysts See 20% Upside

Meta Ratings & Consensus Estimates: The consensus analyst rating on Meta stock stands at a Buy currently with a price target of $532.43. Recent analyst ratings from JMP Securities, Wedbush, and Bernstein suggest a 20.10% upside for Meta stock with an average price target of $556.67.

META Price Action: Meta stock closed the trading day of Tuesday at $463.19, down 0.54%.

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