Meta’s (META) Engagement Likely to Climb in Current Environment, Longtime Investor Says

Meta’s (META) engagement is poised to rise, increasing its ad revenue, in the current environment, Ali Mogharabi, the Senior Equity Analyst of West End Capital Management, suggested during a recent appearance on Schwab Network.

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Meta’s Positive Catalysts

The current “political and economic uncertainty actually increases Meta’s engagement,” said Mogharabi. And the longer its users stay on the platform, the more ad inventory it can sell, the investor noted. Although the prices that Meta can obtain for its ads may drop, the declines may be offset by the higher volumes, Mogharabi believes.

Meanwhile, small and medium businesses are increasing their inventories ahead of the tariffs, and they will “have to sell those products,” the investor stated. Consequently, the tariffs will likely not impact Meta’s financial results negatively “until a quarter from now,” he predicted.

More About META Stock

Analysts, on average, expect Meta’s earnings per share to climb to $24.77 this year and $28.20 in 2026 from $23.86 in 2024.

The shares have fallen 19% in the last month, and they have dropped 21% in the last three months.

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Disclosure: None. This article is originally published at Insider Monkey.