Starter Stock Portfolio: 12 Safe Stocks to Buy

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

No. of Hedge Fund Holders: 262

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) 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 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.

Meta Platforms, Inc. (NASDAQ:META)’s AI utilizes the open-source Lama series, which has begun to see challenges compared to its Chinese rival Deepseek, which is considered a more cost-efficient model. With this news, analysts propose the stock as a Buy opportunity.

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. The stock has an average twelve-month trading price of $762.99, an upside of 50.96%, which makes it one of the best beginner stocks to invest in.