Selected stock price target news of the day - November 1st, 2024

By: Matthew Otto

Meta Tops Q3 Expectations with Strong EPS and Revenue Growth

Meta Platforms reported financial results for the third quarter of 2024, exceeding analysts’ expectations with an earnings per share (EPS) of $6.03, $0.82 above the estimated $5.21. Revenue reached $40.59 billion, surpassing the consensus estimate of $40.18 billion and marking a 19% year-over-year increase.

Net income was $15.69 billion, up 35% from the previous year, while income from operations rose 26% to $17.35 billion. Operating margin improved from 40% in Q3 2023 to 43% this quarter. Daily active users across Meta’s Family of Apps grew by 5% to 3.29 billion, with ad impressions up 7% and an 11% rise in average ad price.

Meta’s effective tax rate dropped to 12% from 17% a year prior, bolstering earnings growth. Meta has projected fourth-quarter 2024 revenue between $45 and $48 billion, aligning closely with analyst expectations of $46.09 billion.

Looking forward, Meta emphasized its investment-heavy approach, particularly in AI and Reality Labs, which focuses on virtual and augmented reality. Total expenses for the year are now expected to be between $96 and $98 billion, down from an earlier estimate of $96 to $99 billion, while capital expenditures are projected to be in the range of $38 to $40 billion.

In Q3 alone, capital expenditures reached $9.2 billion, a 36% year-over-year increase, with the majority allocated to AI data center expansion. Reality Labs reported a quarterly operating loss of $4.4 billion. Meta anticipates infrastructure expense growth in 2025, driven by the back-end loaded nature of 2024 capital investments.

Analysts Raise Price Targets Following Strong Q3 Results

Citigroup analyst Ronald Josey maintained a Buy rating and raised the price target from $645 to $705.
UBS analyst Lloyd Walmsley maintained a Buy rating while increasing the price target from $690 to $719.
Seaport Global analyst Aaron Kessler kept a Buy rating and lifted the price target from $555 to $675.
JMP Securities analyst Andrew Boone held a Market Outperform rating as he raised the price target from $635 to $660.
Shyam Patil at Susquehanna maintained a Positive rating and boosted the price target from $600 to $675.
Roth MKM analyst Rohit Kulkarni retained a Buy rating and nudged the price target from $620 to $635.
Ross Sandler from Barclays maintained an Overweight rating and elevated the price target from $550 to $630.
Scotiabank analyst Nat Schindler kept a Sector Perform rating but lowered the price target from $585 to $583.
JP Morgan analyst Doug Anmuth upheld an Overweight rating and adjusted the price target from $640 to $660.
Mizuho analyst James Lee maintained an Outperform rating and raised the price target from $650 to $675.
BMO Capital analyst Brian Pitz held a Market Perform rating and raised the price target from $525 to $530.
Piper Sandler analyst Thomas Champion retained an Overweight rating and lifted the price target from $575 to $650.

Which Analyst has the best track record to show on META?

Analyst Thomas Champion (PIPER SANDLER) currently has the highest performing score on META with 20/22 (90.91%) price target fulfillment ratio. His price targets carry an average of $77.26 (15.52%) potential upside. Meta Platforms stock price reaches these price targets on average within 234 days.

Snap Surpasses Q3 Expectations, Announces Stock Buyback and Cautious Q4 Outlook

Snap reported third-quarter results with adjusted earnings per share came in at 8 cents, surpassing the anticipated 5 cents per share according to LSEG, while revenue reached $1.37 billion, just above the $1.36 billion forecast.

Snap’s global daily active users totaled 443 million, slightly ahead of the 441 million expected, with an average revenue per user (ARPU) of $3.10, higher than the $3.09 projection. Revenue saw a 15% increase year-over-year, and net losses narrowed from $368 million to $153 million. Snap also announced a $500 million stock repurchase program.

Looking forward, Snap’s fourth-quarter guidance reported an expected revenue between $1.51 billion and $1.56 billion. The midpoint of this range, $1.54 billion, falls just below analysts’ $1.56 billion estimate, although the anticipated adjusted earnings range of $210 million to $260 million has a midpoint above the forecasted $230.7 million.

Additionally, Snapchat+ paid subscriptions reached 12 million users, up from 11 million in August. In line with its augmented reality (AR) growth strategy, Snap launched its fifth generation of Spectacles AR glasses in September, available to developers at $99 per month to foster app development.

Analyst Ratings and Revised Price Targets Following Q3 Earnings

JMP Securities analyst Andrew Boone kept a Market Outperform but lowered the price target from $17 to $16.
BofA Securities analyst Justin Post held at Neutral and lifted the price target from $13 to $14.
Canaccord Genuity analyst Maria Ripps continued to rate as Hold while raising the price target from $12 to $13.
Cantor Fitzgerald analyst Deepak Mathivanan maintained a Neutral rating and adjusted the price target from $8 to $9.
Goldman Sachs analyst Eric Sheridan held a Neutral rating and revised the price target up from $12 to $13.5.
B. Riley Securities analyst Naved Khan kept a Neutral stance and increased the price target from $11 to $12.
RBC Capital analyst Brad Erickson reiterated a Sector Perform rating with the price target at $16.
Piper Sandler analyst Thomas Champion reaffirmed at Neutral while raising the price target from $12 to $13.
Truist Securities analyst Youssef Squali held a Hold rating and lifted the price target from $13 to $14.
Evercore ISI Group analyst Mark Mahaney maintained an In-Line rating and raised the price target from $12 to $15.
UBS analyst Lloyd Walmsley kept at Neutral with an adjusted price target from $12 to $13.

Which Analyst has the best track record to show on SNAP?

Analyst Youssef Squali (TRUIST) currently has the highest performing score on SNAP with 16/23 (69.57%) price target fulfillment ratio. His price targets carry an average of $3.64 (38.89%) potential upside. Snap stock price reaches these price targets on average within 99 days.

Stryker Reports Strong Q3 2024 Results, Exceeding Revenue and EPS Estimates; Raises FY 2024 Guidance

Stryker reported financial results for the third quarter of 2024, with net sales reaching $5.49 billion, reflecting an 11.9% year-over-year increase and surpassing the consensus estimate of $5.37 billion.

Organic net sales increased by 11.5%, supported by a 10.3% rise in unit volumes and a 1.2% boost from higher prices. MedSurg and Neurotechnology achieved net sales of $3.2 billion, reflecting a 12.8% growth in reported terms and 12.9% in constant currency, with organic growth at 12.7%. Orthopaedics and Spine divisions recorded net sales of $2.3 billion, growing 10.7% in reported terms and 10.8% in constant currency, while organic growth in this segment reached 9.7%. The reported earnings per share (EPS) for the quarter was $2.87, exceeding the analyst estimate of $2.77 and showing a 20.0% increase year-over-year.

Looking forward, Stryker expects fiscal year 2024 EPS to be in the range of $12.00 to $12.10, slightly above the consensus estimate of $12.01. Reported net earnings for the quarter grew to $834 million, an increase of 20.5%. Operating income margin also rose, with a reported margin of 19.7% and an adjusted margin of 24.7%, a 130-basis-point improvement over the prior year.

Stryker has increased its expectations for full-year organic net sales growth to between 9.5% and 10.0%.

Analyst Maintains Strong Buy Recommendations and Price Target Increases

Citigroup analyst Joanne Wuensch maintained a Buy rating and raised the price target from $406 to $411.
Barclays analyst Matt Miksic kept an Overweight rating, while increasing the price target from $402 to $418.
BTIG analyst Ryan Zimmerman reiterated a Buy rating and lifted the price target from $383 to $394.
Canaccord Genuity analyst Kyle Rose maintained a Buy rating and elevated the price target from $360 to $400.
RBC Capital analyst Shagun Singh held an Outperform rating and raised the price target from $386 to $400.
Piper Sandler analyst Matt O’Brien reiterated an Overweight rating and increased the price target from $380 to $420.
JP Morgan analyst Robbie Marcus maintained an Overweight rating and raised the price target from $375 to $420.
Truist Securities analyst Richard Newitter Held a Hold rating and raised the price target from $370 to $380.
Evercore ISI Group analyst Vijay Kumar maintained an Outperform rating, while increasing the price target from $380 to $384.
Wells Fargo analyst Larry Biegelsen reiterated an Overweight rating and raised the price target from $381 to $405.
UBS analyst Danielle Antalffy maintained a Neutral rating and increased the price target from $366 to $370.

Which Analyst has the best track record to show on SYK?

Analyst Danielle Antalffy (UBS) currently has the highest performing score on SYK with 8/8 (100%) price target fulfillment ratio. Her price targets carry an average of $38.55 (11.77%) potential upside. Stryker stock price reaches these price targets on average within 110 days.