Citi said in a research report that Meta Platforms, Inc. (META.US) delivered 1Q26 results that beat expectations, with total revenue of USD56.3 billion, mainly driven by growth in advertising revenue. The companys 2Q guidance highlighted continued advertising momentum, with revenue guidance of USD58 billion to USD61 billion, and the midpoint in line with market consensus. The group maintained its full-year expense guidance at USD162 billion to USD169 billion, while raising its full-year capital expenditure guidance by about USD10 billion to USD125 billion to USD145 billion (previously USD115 billion to USD135 billion), with the midpoint about 9% above the banks forecast.During the earnings conference call, the bank focused on several key areas, including the evolution of Metas artificial intelligence model strategy following the launch of its multimodal AI "Muse Spark"; improvements in ranking and recommendation mechanisms to further enhance user engagement; advertising innovations to strengthen revenue, agentic commerce and commercial AI, as well as the potential of the Manus acquisition; computing capacity demand and strategy; and productivity enhancements, with about 10% workforce reduction providing funding for larger AI investments.Related NewsInitial Jobless Claims for Apr/25 in the United States is 189K, lower than the previous value of 215K. The forecast was 215K.Citi set a TP of USD850 on Meta Platforms, Inc. (META.US) with a Buy rating. (hc/u)(Real-time Streaming US Stocks Quote; Except All OTC quotes are at least 15 minutes delayed.)
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