Meta Platforms (META) Eyes $520 Target as Analysts Upgrade Outlook Amid AI-Driven Revenue Surge

Meta Platforms Inc. (META) has emerged as a standout performer in the tech sector, with Wall Street analysts revising upward their price targets following robust quarterly earnings. The latest consensus now stands at $520 per share, up from an average of $475 just three months prior, signaling growing optimism about the company's long-term trajectory. The upgrade comes after Meta reported a 38% year-over-year increase in advertising revenue during Q3 2026, driven largely by the integration of AI tools into its ad platforms. This technological edge enabled advertisers to achieve higher conversion rates, boosting demand for Meta’s digital services across Facebook, Instagram, and WhatsApp. Additionally, operating margins expanded to 59%, reflecting disciplined cost management despite increased investments in AI infrastructure. Key metrics underscore Meta’s market resilience: user engagement on core platforms grew by 12% YoY, while daily active users reached 3.1 billion globally. These figures support the narrative that Meta's ecosystem remains a dominant force in digital advertising, even amid broader macroeconomic headwinds. The company also unveiled new generative AI features for content creators, positioning itself at the forefront of the next wave of social media innovation. Market reaction has been favorable, with META shares rising nearly 14% in post-earnings trading. Investors are particularly attentive to Meta’s capital return strategy, including a $15 billion stock buyback program announced alongside Q3 results. Growth investors, value funds, and institutional holders alike have stepped up positions, indicating broad-based confidence in the company’s strategic direction.