Meta Stock Dips Below Short-Term Average As Mark Zuckerberg-Led Tech Giant Snaps 20-Day Winning Streak

Meta Platforms Inc. META declined on Tuesday after making history with its 20-day-long winning streak. The stock fell below its eight-day simple moving average for the first time in several days, following Tuesday’s decline.

What Happened: In the 20 trading sessions between Jan. 16 to Feb. 14, Mark Zuckerberg‘s firm rose by 20.22%, according to Benzinga Pro. The company added over $350 billion in market capitalization during this period.

Invesco QQQ Trust, Series 1 QQQ, the exchange-traded fund tracking Nasdaq 100 advanced by 3.15% in these 20 days.

After Tuesday’s fall, the stock was up by 16.91% since Jan. 16.

Meanwhile, Benzinga Pro data indicated that the stock fell below its eight-day average while still displaying bullish trends. It was still above the 20-day average and longer-term 50-day and 200-day averages.

Momentum indicators were also strong. The relative strength index fell below the overbought to neutral zone at 68.09 while it still had a positive MACD of 27.94, indicating the possibility of a further positive move.

Why It Matters: Meta created history with 20 consecutive sessions of gains before falling 2.76% to $716.37 apiece on Tuesday. It declined further by 0.056% in afterhours.

Possibly following Elon Musk’s footsteps, Meta recently announced that it is creating a new Reality Labs team to develop its humanoid robot hardware for household tasks. The long-term goal is to create AI, sensors, and software for other companies to use in their robots. Meta has begun talks with robotics firms like Unitree Robotics and Figure AI.

However, former Meta employees disputed the company’s recent layoffs, alleging they disproportionately affected high performers, including those on leave, contradicting CEO Zuckerberg’s claim that the cuts were performance-based. These employees maintain they have no record of underperformance and feel unjustly targeted.

Price Action: Meta has risen 22.35% this year and 51.85% over the last year.

The average price target among 43 analysts tracked by Benzinga is $731.76 with a ‘buy' rating. The estimates range from $575 to $935 apiece. Recent ratings from Tigress Financial, UBS, and Citigroup suggest a $833.67 target, implying a potential upside of 16.44%.