Meta earnings live updates: Wall Street watching for AI monetization, reaction to DeepSeek mania

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Bank of America: A slew of positive catalysts underway

Meta has said it would cut another 5% of its workforce this year, which could boost profit margins, according to Bank of America.

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A host of tailwinds may be building for Meta this year, Bank of America said.

Analysts wrote that the company is still in the early stages of monetizing its AI projects and integrating the tech into its messaging platforms, such as WhatsApp and Messenger.

Meta may also stand to benefit from any disruption to TikTok, with some firms potentially shifting to Meta to advertise.

“With a stable macro backdrop, a growing AI contribution to ad revenues, ramping messaging revenues, and continued cost discipline (recent headcount cuts), we remain positive on the stock in 2025,” analysts added.

The bank has a “Buy” rating on the stock. It raised its price target to $710 a share, implying 5% upside from current levels.