Thursday, August 7, 2025

Facebook Blows Analyst Expectations Away With Strong Results

Facebook Inc (NASDAQ: FB) opened 8% higher Thursday morning, reaching record highs and closing in on that $1 trillion market capitalization after its first quarter results blew away analysts’ expectations. The company announced first-quarter revenue of $26.17 billion, a 48% year-over-year growth, along with a gross margin of 80.4%. Net income came in at a first-quarter record of $9.5 billion, or 36.3%, and earnings per share hit $3.30. All these numbers beat Refinitiv’s analyst consensus estimates.

A number of analysts increased their price targets off the back of these stellar earnings, bringing their average 12-month price target up from $338.72 last month to $358.87 from a total of 55 analysts who cover the name.

Below are the most recent analyst changes as of the time writing:

  • BOFA Global Research raises target price to $390 from $358
  • Oppenheimer raises target price to $375 from $350
  • UBS raises target price to $380 from $350
  • Monness Crespi Hardt raises target price to $460 from $375
  • Stifel raises target price to $400 from $350
  • Raymond James raises target price to $415 from $360
  • Truist Securities raises target price to $400 from $350
  • Wedbush raises target price to $355 from $340
  • Deutsche Bank raises target price to $425 from $385
  • BMO raises target price to $420 from $375
  • Mizuho raises target price to $400 from $350
  • Guggenheim raises target price to $410 from $365
  • Susquehanna raises target price to $425 from $375
  • MKM Partners raises target price to $380 from $340
  • Piper Sandler raises target price to $335 from $285
  • Credit Suisse raises target price to $400 from $371
  • Atlantic Equities raises target price to $370 from $345
  • Cowen and Company raises target price to $400 from $360
  • Evercore ISI raises target price to $400 from $370
  • Jefferies raises target price to $385 from $360
  • Baird raises target price to $340 from $320

In BMO’s note following the results, their analyst, Daniel Salmon, raised their 12-month price target from $375 to $420 and reiterated their outperform rating on the stock. Salmon raised Facebook to their top pick and says that the first quarter print and second-quarter guidance are helpful to “alleviate concern about core ad trends, with or without AAPL’s ATT,” but still believes that there is a small wall of worry to climb as the newly introduced IOS 14.5 is expected to have material headwinds on Facebook’s business. He tells investors that the focus should be on Facebook’s, “fundamental strength in core advertising and be supported by catalysts for multiple expansion like data points about commerce, VR/AR and crypto.”

A large beat on Facebook’s ad revenue helped propel their results this quarter, with MAU growth accelerating while DAU’s slowed slightly. Salmon writes, “2Q21 is still expected to be “stable or modestly accelerate” albeit now at higher levels of growth. Engagement trends are normalizing and 2H21 should again be driven by higher ad prices as a result.”

Below you can see BMO’s key changes to their second quarter, 2021 and 2022 results.


Information for this briefing was found via Sedar and Refinitiv. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Gold/Silver: People Can Still Lose Money In This Bull Market!? | Rick Rule

He Said $300 Silver!? | Peter Krauth

Dollar Will Collapse, Gold and Silver Are the Only Safe Havens | Jim Rogers

Recommended

Tsunami Warnings Spread As Largest Quake Since 2011 Hits Russia

Northern Superior Intersects 1.75 g/t Gold Over 65.0 Metres At Philibert

Related News

Vireo Health: Canaccord Reiterates After Q4 Results

Last week, Vireo Health (CSE: VREO) released their fourth quarter and year-end 2020 financial results....

Monday, March 29, 2021, 04:03:00 PM

BMO Resumes Coverage On Tricon Residential After US IPO

Earlier this month, Tricon Residential (TSX: TCN) announced that they closed their U.S. IPO selling...

Sunday, October 31, 2021, 12:03:00 PM

Cresco Labs: Consensus First Quarter 2021 Estimates

Cresco Labs (CSE: CL) announced that they will be reporting their first quarter financials before...

Tuesday, May 25, 2021, 11:51:00 AM

Online News Act Aftermath: Meta To Block News Content, Ottawa To Convince Google

In response to the recently passed Online News Act by the Canadian government, Meta Platforms...

Friday, June 23, 2023, 12:39:00 PM

Eight Capital Initiates Coverage On PopReach With C$2.35 Price Target

Yesterday Eight Capital initiated coverage on PopReach Corp (TSXV: POPR) with a C$2.35 price target...

Tuesday, October 20, 2020, 04:41:28 PM