Social media giant Meta Platforms (META) is set to release its fourth-quarter fiscal 2025 results after market close on Wednesday, January 28. Investors should monitor Meta’s Key Performance Indicators (KPIs), as these metrics reveal historical performance and shape future expectations.
Claim 50% Off TipRanks Premium
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential
A KPI is a measurable metric like revenue growth, margins, or daily active users that offers insights into trends, efficiency, and potential challenges such as market shifts or resource inefficiencies.
Which Are Meta’s Key KPIs?
Meta Platforms tracks two primary KPIs: Family Daily Active People (DAP) and Advertising Revenues. Its Family of Apps (FoA), including Instagram, WhatsApp, Facebook, and Threads, collectively generate billions in advertising revenue for the parent company. To sustain this, Meta must attract more active users to its platforms and draw advertisers through targeted advertising. While subscription revenues also contribute, advertising remains the dominant portion of Meta’s total revenue, contributing about 98% to the total.
Family Daily Active People
Meta’s Family Daily Active People (DAP) metric measures daily engagement across its Family of Apps, reflecting user retention, platform popularity, and potential for ad revenue growth.
Meta has shown consistent growth in DAP, reaching 3.54 billion (up 8% year-over-year) as of September 30, 2025. This reflects enhanced user engagement, with significant increases in time spent on Facebook and Instagram, fueled by improved recommendation systems. Strategic investments in AI and business messaging are expected to sustain this momentum, laying a strong foundation for future revenue growth.
Advertising Revenues
Meta’s advertising revenue reached $50.08 billion in Q3 FY25. This segment is experiencing robust growth, driven by enhanced ad performance and increased user engagement, as highlighted in the earnings call. However, Reality Labs continues to struggle with declining sales, reflecting challenges in the VR market. The company is also facing increased capex for AI development and potential regulatory challenges in the EU, which could impact future profitability.
Is Meta a Good Stock to Buy Now?
Wall Street expects Meta to report a 21% year-over-year revenue increase to $58.45 billion. Analysts’ consensus earnings per share (EPS) estimate of $8.21 also reflects 2.4% growth from the prior year.
On TipRanks, Meta Platforms has a Strong Buy consensus rating based on 38 Buys, six Holds, and one Sell rating. The average Meta Platforms price target of $821.11 implies 22.1% upside potential from current levels. Over the past year, META shares have gained merely 2%.
