10 Best Stocks to Buy for the Next 3 Months

3. Meta Platforms, Inc. (NASDAQ:META)

No. of Hedge Fund Holders: 262

Upside Potential: 28.31%

Meta Platforms, Inc. (NASDAQ:META) is a global technology conglomerate focused on connecting people through various digital platforms and immersive technologies, operating in two segments, Family of Apps (FoA) and Reality Labs (RL). The FoA segment encompasses popular social media and messaging applications. Facebook, Instagram, and WhatsApp. The Reality Labs (RL) segment advances virtual, augmented, and mixed reality technologies, offering consumer hardware, software, and content designed to enhance connectivity. These products aim to bridge the physical and digital worlds, enabling users to interact in immersive environments.

Meta Platforms, Inc. (NASDAQ:META) has launched its Meta AI chatbot in the European Union, despite ongoing regulatory scrutiny for potential Digital Markets Act violations. The AI service, offering chat functionality in six European languages, will be available across Meta’s apps—Facebook, Instagram, WhatsApp, and Messenger—in 41 European countries. It is worth noting that this launch occurs amid increasing pressure on U.S. tech giants from EU antitrust authorities, with recent findings indicating breaches of DMA rules by Google and recommendations for Apple to comply. The EU denies targeting American firms, citing similar investigations in the U.S. The launch of Meta AI, boasting over 700 million users globally, signifies Meta’s effort to expand its AI services despite regulatory challenges. The company’s Founder, Chairman, and Chief Executive Officer, Mark Zuckerberg, spoke on Meta’s commitment to AI going into 2025:

“In AI, I expect this is going to be the year when a highly intelligent and personalized AI assistant reaches more than 1 billion people, and I expect Meta AI to be that leading AI assistant. Meta AI is already used by more people than any other assistant, and once a service reaches that kind of scale it usually develops a durable long-term advantage.”

Meta Platforms, Inc. (NASDAQ:META) reported earnings of $48.39 billion (up 20.63% YoY) for Q4 2024, beating estimates by $1.39 billion and an EPS of $8.02, clearing estimates by $1.28. The company has daily active users (DAU) of 3.35 billion as of Q4 2024, up from 3.29 billion in Q3 2024. Meta AI serves approximately 700 million monthly active users.