Meta platforms (Nasdaq: Meta) Stock just set several records. Yesterday (February 11) increased on the seventeenth trade day in a row, the longest victorious run for Nasdaq 100 Share from 1990. It is also a record for every “wonderful seven” action!

Should I buy the shares of the owner of Facebook and Instagram for my actions and ISA shares? Let’s look.

What’s going on?

First of all, why did the actions march higher? As far as I know, there are three main reasons here.

First of all, the social media giant reported an extremely robust fourth quarter at the end of January. Revenues increased by 21% in a year to USD 48.4 billion, while profit per share (USD 8.02) increased by 50%. These numbers destroyed Wall Street forecasts for $ 46.9 billion and USD 6.75, respectively.

CEO of Mark Zuckerberg said: “We are still making good progress in artificial intelligence, glasses and the future of social media. I am excited to see these scale efforts further in 2025. “

Then the company plans to invest this year to USD 65 billion in infrastructure of artificial intelligence (AI). However, unlike many other companies, the finish line already uses artificial intelligence in a material manner, using it to improve targeted advertising and increasing advertising efficiency.

The advertisement accounts for almost 98% of revenues, so it seems that technology strengthens its basic business. Thanks to the stunning users, the company’s platforms remain 3.35 billion per day.

Finally, Tiktok may still be banned in the USA, which would immediately benefit the finish line, because even more eyeballs and advertising dollars will move to Facebook and Instagram. Even if Tiktok is bought by an American company, it would probably lose its competitive advantage, because the owner of Bytedance is very protective for a powerful recommendation algorithm that maintains such involvement of users. He does not give him to a competitor.

Valuation and risk

Despite the boost in shares by 235% in five years, it still seems to me wisely valued. Currently, it trades 25 times next year of forecast profits. According to this measure, the meta is cheaper than any other wonderful seven stocks Alphabet (18).

Looking to the future, analysts expect that revenues and earnings will boost by 11% -16% both in 2026 and 2027, so despite their already huge scale, the finish is expected to boost revenues to USD 239 billion to 2027 .

As for the risk, I would say that the sudden slowdown in global advertising expenses is high. We saw this in 2022, when growing interest rates and economic uncertainty led companies to reduce marketing budgets and reduce costs.

In addition, the company has and makes huge investments in virtual reality and artificial intelligence. If they do not bring phrases that he thinks, investors could at some point turn Barish to shares.

Will I buy shares?

The company’s market capital is now slightly below $2TrnMaking the finish line to the sixth largest company in the world. Although this does not mean that in the future it will not become more valuable (I think yes), I ask if it can ensure high phrases, which I usually look for in growth actions.

In other words, I prefer to invest in American actions with smaller market hats (usually less than USD 50 billion). However, for investors interested, I would say that it is worth checking, even so much.