META's AI Momentum and Strong Forecasts Keep Wall Street Bullish

Meta Platforms, Inc. (NASDAQ:META) is one of the Trending AI Stocks on Wall Street’s Radar. On October 21, Bank of America reiterated the stock as “Buy” with a $900 price target. The firm said it’s sticking with the tech giant ahead of earnings later this month.

Bofa believes that Meta has the potential for upside driven by improving macroeconomic conditions and accelerating AI benefits. It anticipates Meta to report third-quarter revenue of $50.0 billion and earnings per share of $7.30, beating consensus estimates of $49.5 billion and $6.69, respectively.

It believes that market expectations might be even higher, potentially between $50.5 billion and $51.0 billion for the quarter.

For the fourth quarter of 2025, the firm anticipates revenue of $58.8 billion and earnings per share of $8.90, higher than Street estimates of $57.3 billion and $8.12. Looking ahead, it is forecast that Meta will guide fourth-quarter revenue between $55.5 billion and $59 billion.

Moreover, ongoing infrastructure investments may lead Meta to narrow its full-year 2025 expense guidance to $115-117 billion from the previous $114-118 billion range. It may also raise the lower end of its capital expenditure forecast by $2 billion to a new range of $68-72 billion.

“Meta is an investment in increasing social and mobile Internet usage, and also offers exposure to the increasing use of AI/ML technology and potential long-term Metaverse opportunity.”

While we acknowledge the potential of META as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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