CFRA Upgrades Meta to Strong Buy on AI

CFRA upgraded Meta Platforms to Strong Buy as the company's AI strategy shifts from promise to execution. Meta shares trade at $628.39, well below the consensus analyst target of $860.25, with a forward P/E of 19x and a PEG ratio of 0.9 suggesting growth is underpriced. Meta's core business remains strong, with 2025 revenue hitting $200.97 billion, up 22% year over year, and ad revenue rising 24% in Q4. However, risks persist: total costs grew 40% in Q4, long-term debt stands at $58.7 billion, and EU regulatory challenges remain unresolved.