Earnings report for Meta (META) in the first quarter of 2024.

Meta will report first-quarter results after the bell Wednesday. Analysts are expecting impressive figures:

  • Earnings per share: $4.32
  • Revenue: $36.16 billion
  • Daily active users (DAUs): 2.12 billion
  • Monthly active users (MAUs): 3.09 billion
  • Average revenue per user (ARPU): $11.75

Meta’s stock has been performing well on Wall Street since early 2023, with strong growth following CEO Mark Zuckerberg’s commitment to efficiency. The company’s innovative strategies have significantly improved its market performance.

Amid challenges in 2022, including Apple’s iOS privacy update and macroeconomic concerns, Meta successfully restructured its ad business under Zuckerberg’s leadership. The company’s focus on artificial intelligence has led to significant advancements in ad targeting and creation.

Analysts anticipate a 26% revenue increase for Meta compared to the previous year, reflecting a positive trajectory for the company. The stabilization of the economy and increased spending from Chinese retailers are key contributors to Meta’s growth.

Despite potential concerns about spending from Chinese advertisers, Baird analysts remain optimistic about Meta’s future. The company’s cost management strategies have been pivotal in driving its stock rally, with a significant reduction in unnecessary projects and workforce optimization.

Jefferies analysts predict that Meta will surpass expectations in the first quarter and provide strong guidance for the second quarter. The company’s focus on AI investments and improving advertiser tools positions it for sustained revenue growth.

Meta’s Reality Labs unit, dedicated to developing the metaverse, is expected to show an operating loss. However, revenue in the unit is projected to increase, reflecting ongoing investment in innovative technologies.

Executives will discuss Meta’s performance and future outlook on a call with analysts at 5 p.m. ET, providing further insights into the company’s growth trajectory.

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