Meta Platforms Valuation

Is META * undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of META * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
Mex$13.40k
Fair Value
20.5% undervalued intrinsic discount
60
Number of Analysts

Below Fair Value: META * (MX$10651.01) is trading below our estimate of fair value (MX$13402.15)

Significantly Below Fair Value: META * is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for META *?

Key metric: As META * is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for META *. This is calculated by dividing META *'s market cap by their current earnings.
What is META *'s PE Ratio?
PE Ratio21.6x
EarningsUS$62.36b
Market CapUS$1.35t

Price to Earnings Ratio vs Peers

How does META *'s PE Ratio compare to its peers?

The above table shows the PE ratio for META * vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average16.1x
GOOGL Alphabet
18.4x10.2%US$1.9t
700 Tencent Holdings
21.8x9.4%HK$4.5t
1024 Kuaishou Technology
14.7x13.3%HK$240.4b
BIDU Baidu
9.7x2.8%US$30.9b
META * Meta Platforms
21.6x10.2%Mex$1.3t

Price-To-Earnings vs Peers: META * is expensive based on its Price-To-Earnings Ratio (21.6x) compared to the peer average (16.1x).


Price to Earnings Ratio vs Industry

How does META *'s PE Ratio compare vs other companies in the Global Interactive Media and Services Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No. of Companies24PE01632486480+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: META * is good value based on its Price-To-Earnings Ratio (21.6x) compared to the Global Interactive Media and Services industry average (21.6x).


Price to Earnings Ratio vs Fair Ratio

What is META *'s PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

META * PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.6x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate META *'s Price-To-Earnings Fair Ratio for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst META * forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentMex$10,651.01
Mex$15,228.79
+43.0%
9.4%Mex$18,637.64Mex$10,066.32n/a60
Mar ’26Mex$13,594.52
Mex$15,608.19
+14.8%
9.5%Mex$19,089.05Mex$10,310.13n/a62
Feb ’26Mex$14,201.13
Mex$15,175.34
+6.9%
10.8%Mex$18,129.65Mex$9,841.81n/a61
Jan ’26Mex$12,198.03
Mex$13,129.12
+7.6%
8.9%Mex$16,279.53Mex$9,534.87n/a61
Dec ’25Mex$11,690.75
Mex$13,182.94
+12.8%
8.5%Mex$16,473.44Mex$9,648.44n/a61
Nov ’25Mex$11,505.60
Mex$13,050.88
+13.4%
9.0%Mex$16,444.32Mex$9,631.39n/a61
Oct ’25Mex$11,268.01
Mex$11,555.10
+2.5%
11.1%Mex$15,906.31Mex$7,492.24n/a60
Sep ’25Mex$10,286.44
Mex$11,184.16
+8.7%
9.0%Mex$12,706.76Mex$7,502.29n/a56
Aug ’25Mex$9,313.00
Mex$10,507.85
+12.8%
9.7%Mex$12,145.55Mex$7,170.94n/a56
Jul ’25Mex$9,288.31
Mex$9,628.73
+3.7%
9.5%Mex$11,643.60Mex$6,611.51n/a55
Jun ’25Mex$7,900.05
Mex$8,745.13
+10.7%
9.2%Mex$10,642.26Mex$6,042.92n/a56
May ’25Mex$7,419.84
Mex$8,917.54
+20.2%
8.2%Mex$10,789.29Mex$6,807.12n/a56
Apr ’25Mex$8,163.89
Mex$8,720.38
+6.8%
7.6%Mex$10,128.58Mex$6,619.34Mex$11,882.2354
Mar ’25Mex$8,545.89
Mex$8,843.09
+3.5%
10.2%Mex$9,842.85Mex$4,193.91Mex$13,594.5255
Feb ’25Mex$6,751.01
Mex$6,756.00
+0.07%
13.0%Mex$8,064.59Mex$3,002.77Mex$14,201.1353
Jan ’25Mex$6,021.58
Mex$6,387.00
+6.1%
11.2%Mex$7,356.85Mex$2,959.65Mex$12,198.0352
Dec ’24Mex$5,581.29
Mex$6,434.38
+15.3%
11.2%Mex$7,480.70Mex$3,009.48Mex$11,690.7551
Nov ’24Mex$5,546.97
Mex$6,633.16
+19.6%
11.2%Mex$7,570.23Mex$3,117.15Mex$11,505.6051
Oct ’24Mex$5,223.68
Mex$6,443.23
+23.3%
14.1%Mex$7,692.32Mex$1,768.35Mex$11,268.0151
Sep ’24Mex$5,075.00
Mex$6,068.09
+19.6%
15.4%Mex$7,288.51Mex$1,675.52Mex$10,286.4453
Aug ’24Mex$5,448.43
Mex$6,014.71
+10.4%
17.4%Mex$7,334.67Mex$1,686.13Mex$9,313.0051
Jul ’24Mex$4,912.80
Mex$4,766.73
-3.0%
17.8%Mex$6,147.79Mex$1,707.72Mex$9,288.3152
Jun ’24Mex$4,770.39
Mex$4,709.26
-1.3%
17.0%Mex$6,143.69Mex$1,755.34Mex$7,900.0552
May ’24Mex$4,307.87
Mex$4,706.85
+9.3%
17.7%Mex$6,292.97Mex$1,797.99Mex$7,419.8453
Apr ’24Mex$3,801.64
Mex$4,050.69
+6.6%
17.4%Mex$5,518.24Mex$1,447.41Mex$8,163.8953
AnalystConsensusTarget
Consensus Narrative from 60 Analysts
Mex$15.31k
Fair Value
30.4% undervalued intrinsic discount
60
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/04/04 01:37
End of Day Share Price 2025/04/03 00:00
Earnings2024/12/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Meta Platforms, Inc. is covered by 97 analysts. 62 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
David HeasmanAccountability Research Corporation
Richard KramerArete Research Services LLP
Rocco StraussArete Research Services LLP