Social network operator Meta Platforms (NASDAQ: META) will be reporting earnings tomorrow afternoon. Here's what investors should know.
Last quarter Meta reported revenues of $28.6 billion, up 2.64% year on year, beating analyst revenue expectations by 3.57%. It was a decent quarter for the company, with optimistic revenue guidance for the next quarter but slow revenue growth. The company reported 3.81 billion monthly active users, up 4.67% year on year.
Is Meta buy or sell heading into the earnings? Read our full analysis here, it's free.
This quarter analysts are expecting Meta's revenue to grow 7.66% year on year to $31 billion, improving on the 0.88% year-over-year decline in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.89 per share.
The analysts covering the company have been growing increasingly bullish about the business heading into the earnings, with revenue estimates seeing thirteen upwards revisions over the last thirty days. The company missed Wall St's revenue estimates three times over the last two years.
Looking at Meta's peers in the consumer internet segment, only Netflix has so far reported results, delivering top-line growth of 2.72% year on year, missing analyst estimates by 1.24%. The stock was down 2.97% on the results. Read our full analysis of Netflix's earnings results here.
There has been positive sentiment among investors in the consumer internet segment, with the stocks up on average 13.6% over the last month. Meta is up 5.15% during the same time, and is heading into the earnings with analyst price target of $304.60, compared to share price of $292.79.
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The author has no position in any of the stocks mentioned.