What do we think about $META?

Meta’s EPS would have easily surpassed expectations if not for a one-time tax payment tied to the Big Beautiful Bill. Despite that, their ad revenue continues to climb, showing that TikTok hasn’t been nearly as disruptive as many expected at the start of 2025 when its U.S. ban looked uncertain.

Threads is also proving to be a major success, now surpassing Elon’s X in monthly active users. That creates yet another ad channel within Meta’s ecosystem—one that can be monetized at scale with minimal additional cost.

Beyond ads, Meta is moving into retail hardware, starting with the well-received Meta Glasses. With their heavy AR investment and growing consumer trust, Meta looks positioned to be the first company to deliver a true smart-glasses experience capable of powering a fully AR workspace. Entering this segment could open a high-margin revenue stream far beyond social media.

And despite all of this growth, Meta is still trading roughly 18% below its all-time high, while most of the other “Magnificent Seven” tech giants are sitting within about 3–8% of their peaks.