Oppenheimer Reiterates Perform Rating on Meta Platforms (META) Stock

Meta Platforms, Inc. (NASDAQ:META) is one of the Top Wide Moat Stocks to Buy for Long Term Growth. On March 19, Oppenheimer analyst Jason Helfstein reiterated a “Perform” rating on the company’s stock. This is because of the delay in the launch of LLM and the rumored reduction in the headcount by 20%. These moves indicate that the company is in defensive mode.

The firm believes there are 2 possible scenarios. First, there can be increased opex/capex because of increased competition. Second, there can be more delays in frontier LLM, with management highlighting that there will be margin upside. This will help calm investors.

The firm further added that the longer Meta Platforms, Inc. (NASDAQ:META) delays its launch of Avocado, the more difficult it will be to keep up with competitors. This is because the competitors’ models continue to improve. That being said, a 20% reduction in force could result in an EPS upside of ~$1.60 in 2027, or 5% above the firm’s current estimate.

Meta Platforms, Inc. (NASDAQ:META) happens to be a multi-national company, which is engaged in developing AR/VR technologies and social platforms.

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