Meta Platforms Eyes Potential Stock Split Amid Strong AI Growth

Meta Platforms could be primed for its first-ever stock split, thanks to robust retail ownership and promising AI advancements. Investors are closely watching this potential move, which could significantly impact its stock price in 2025.

Date: 26-03-2025

AI Rating: 7

Meta Platforms Stock Split Potential
Meta Platforms (NASDAQ: META) is highlighted as a strong candidate for a stock split in 2025, owing to its rising retail investor ownership, which is currently at 29%. With its share price around $600, a split could make shares more affordable to everyday investors.

Robust User Engagement and Ad Pricing Power
Meta boasts a massive user base, attracting an average of 3.35 billion daily active users across its platforms, including Facebook, Instagram, and WhatsApp. This strong engagement enables Meta to command significant pricing power for ads, leading to a 10% increase in average ad prices last year.

Financial Resilience
With $77.8 billion in cash, cash equivalents, and marketable securities, and over $91.3 billion in net cash from operating activities in 2024, Meta is in a strong financial position to invest in growth initiatives and absorb risks. This robust cash flow and liquidity provide a solid foundation for potential stock split considerations.

AI Integration and Future Growth
Additionally, Meta is integrating artificial intelligence into its operations, enhancing its ad-targeting capabilities. As the company builds its metaverse framework, it is leveraging AI to create tailored experiences for users, which could further bolster its financial performance and stock price.

Overall, the combination of solid user engagement, financial strength, and potential stock split makes Meta Platforms a company to watch.

Stocks: META