AI Investments of Meta, Expansion of Llama, Ad Tech Growth Win Analyzer

Rosenblatt: The fourth quarter of 2024 was a strong quarter for Meta, but it included things to absorb, including higher costs in 2025 and a shorter rate of revenue growth in the first quarter of 2025, mainly due to currency.

Beyond this, Meta draws a convincing picture of how these investments can accelerate sales in close and long -term, while improving trends in costs in 2026 and after. No one is more dull in AI than Meta. And Meta can have more benefits to show by AI by anyone.

Sifel: META reported the fourth quarter results and provided revenue guidance in the first quarter 2025 under the street. Last week, fiscal forecasts for capital expenditure were proposed in 2025 and general cost guidelines exceeded expectations.

The Llama investment cycle continues with expectations for internal operational improvement, early profits from consumers and advertisers.

In general, Kelly does not expect the shares to move long after printing, but remains positive for the overall health of the digital ads market, which should lead to better than expected growth throughout the year.

Needham: Meta reports a strong fourth quarter of 2024 results. However, from their directions, Martin would quickly call the delay in EPS revenue and growth, the rapid growth of FTE, and no recreation from the rapidly increasing capital expenditure, which is disappointing given the Deepseek messages this week.

Also, Meta promised “hundreds of billions of dollars” in long -term capital expenditures, suggesting that 2025 was only the beginning of pressure on free cash flow and margins. Martin does not expect many extensions, given this perspective.

Scotibank: Meta reported the fourth quarter of 2024 revenue, defeated by ~ 3% (up ~ 21% Y/Y), even against stricter compounds, with a widely based power in advertising and the family of applications.

Near the top of the list of worries of investors who enter the results were Capex and the depreciation trends, especially with the latest Deepseek news.

As the questions continue to go around Deepseek, there are some concerns, especially with regard to Llama 3.1 405B. Deepseek V3 and Llama 3.1 were trained in less than two months, but V3 is 66% more than Llama and uses 88% less Nvidia corp (Nasdaq:Nvda) AI accelerators.

At an estimated rate of $ 2 per accelerator per hour, V3 costs $ 5.6 million, 14 times less than llama. This continues to play in the worries of Schindler, which he wrote about after his dedication: Meta can have problems with cost and cause revenue through AI over the next few years. Although META has to invest strongly to stay on top of technology, it’s still too early to see if AI monetization will grow profit.

Truist securities: Squali remains constructive for meta, following more significant results than the fourth quarter and the scourge perspective for 2025.

Bullish Outlook reflects on current enhancements to AD results from AI-oriented Recommendations and ranking algorithms that nourish higher conversion and pricing ads; The upcoming launch of Llama 4 must power a growing list of capabilities in Meta AI, Commerce and Services; and sustainable growth and engagement of consumers built around the wide family of Meta applications.

While the competition to AGI stimulates capital expenditures and operating costs significantly higher than expected, Squali noted that Meta has won the right to invest.

JP Morgan: Meta has produced strong results from the fourth quarter, along with the more mixed perspectives, mainly due to higher costs and set 2025 as a crucial year for most key long-term initiatives.

Deepseek was a critical focus area for investors. Although Meta still does not have all the answers, the management expects to be able to use Deepseek’s progress and emphasized that heavy Meta investment in Capex and infrastructure will be strategic advantages over time.

Anmuth remains the scourge of the potential of Meta AI, as there is a significant place to grow within the 35B Family Dap of Meta and expects a wide range of e -commerce functionality and services that will be added this year, led by Llama 4.

RBC Capital: Meta’s fourth quarter was good. The company won and lifted, exposed many new products for products and monetization in 2026 and was captivating to defend and repeat its ambitious plans for AI costs, given the recent DEPEPEK dispute.

Erickson increased his fiscal estimates in 2025-2027, introduced his estimates for 2028 and raised his price target. The levels of evaluation and awareness of bull cases are the main nitpics.

However, given the leading position of the company in AI, widespread opportunities to increase usefulness for its users and a differentiated option arising from the calculation capacity, Erickson noted that only the most selected group of companies can be equally prepared for full or over -participation in long -term AI admission.

Goldman Sachs: In the long run, Sheridan continues to view META as focused less on ahead of 6-12 months or more on long-term opportunities with increased focus on aligning investment in world-class computer infrastructure, open source software initiatives and an increased scope of previous capital costs.

The analyst remains focused on increased levels of visibility in the rate of investment and a return profile of such investments as critical to better understand the complex potential for profit from 2025 to 2028.

He sees Meta as well as well positioned against several long -term topics for worldly growth. It is encouraged by a positive impulse in key product initiatives, including drums, click ads for message, AI and Advantage+ reception.

Davidson: The assessment reflects the fourth quarter profit, which beat the top and lower expectations. The Meta apps are intensified as the company continues to integrate AI into its products.

The management expects 2025 to be a crucial year for the company in connection with its AI ambitions, with Mark Zuckerberg emphasizing several expected developments, including the release of Llama-4.

BOFA securities: While the profit impulse will be stopped in 2025, POST scored Meta sent an optimistic tone to “exciting product road card” for Meta Ai, Llama, Meta Coding Agent and Meta Ai Glasses and “Opportunity to achieve strong revenue growth” No real slope warnings.

Post noted that the taller multiple is justified, since AL improvements managed by Meta are still early. Meta builds significant AI assets with internal AL supercomputer, internal LLM and custom AL chips to use massive Facebook, Instagram and User Poles for Messages.

Morgan Stanley: Meta remains the purest GPU winner in the sector. He invests more than expected, but the revenue, engagement and pipeline are brilliant.

The price target is unchanged, but the Bull case is increasing to $ 900, as NOWAK detailed revenue and a pipeline, which can lead to multiple extensions to the Bull case.

Price action: Meta shares increased by 2.40% compared to $ 692.71 at the last check on Thursday.

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