Shares of social media giant Meta Platforms (META) have risen 13% year-to-date, underperforming the 17% rise in the S&P 500 Index (SPX). The company’s revenue growth accelerated to 26% in Q3 and exceeded the Street’s estimates. However, a one-time tax charge related to the Trump administration’s One Big, Beautiful Bill and concerns about elevated capital expenditure impacted investor sentiment. Nonetheless, top analysts at Wedbush and Bank of America remain bullish about META stock heading into 2026.
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Top Analysts Are Confident About META’s Stock Prospects
Wedbush analyst Scott Devitt lowered the price target for Meta Platforms stock to $880 from $920 and reaffirmed a Buy rating. The 5-star analyst stated that META is Wedbush’s top advertising pick for 2026, given its resilient digital ad trends, strong adoption of its Advantage+ AI-powered advertising suite, and monetization of new channels. While the company is expected to face margin pressure in 2026, Devitt sees the possibility of additional cost discipline driving upside.
Meanwhile, Bank of America analyst Justin Post reiterated a Buy rating on META stock with a price target of $810. Post noted META stock’s underperformance compared to the Nasdaq and shares of Google’s parent company, Alphabet (GOOGL). The 5-star analyst noted that although Meta’s 2026 consensus earnings per share (EPS) estimate rose 16% from the beginning of this year, the 2026 P/E multiple contracted in the second half of 2025 amid adverse sentiment for AI stocks and growing concerns about the company’s operating expenses for next year.
Over the near term, Post views Meta’s 2026 expense forecast and the company’s new LLM (large language model) launch as potential catalysts. For the long term, the analyst believes that investors’ focus remains on AI investments and returns in the form of usage across Meta’s core apps, ad monetization, and new business prospects. “Given Meta’s significant investment in LLM development (without a licensing revenue model), we think mgmt. commentary on LLM build cost vs licensing, and the long-term benefits of an in-house LLM could be helpful for sentiment,” said Post.
Is META Stock a Good Buy?
Overall, Wall Street has a Strong Buy consensus rating on Meta Platforms stock based on 36 Buys, six Holds, and one Sell recommendation. The average META stock price target of $829.09 indicates about 26% upside potential.
