TECH - 'Meta Actually Has Major Profit Margins Unlike Tesla': Redditor Reacts To Stock Drop Following Q1 Earnings | Benzinga
Meta Platforms Inc (NASDAQ:META), formerly Facebook, recently reported a revenue and earnings beat for Q1 2024 but issued disappointing guidance for the future.
This news caused the stock to drop 11% in extended trading, overshadowing the positive quarterly results. While earnings per share ($4.71) and revenue ($36.46 billion) exceeded expectations, the company’s forecast for Q2 fell short of analysts’ estimates, with projected revenue between $36.5 billion and $39 billion.
Also Read: Meta’s Unexpected Stock Plunge Following A Strong Earnings Report And Bold AI Investment
Reddit users on r/stocks shared their views on Meta’s performance and valuation. They drew comparisons to other tech giants like Tesla Inc (NASDAQ:TSLA) and discussed the company’s anticipated capital expenditures (capex) in artificial intelligence (AI).
Comparing Valuations To Tesla
Some Redditors compared Meta’s valuation to Tesla. They noted that while Tesla has a trailing 12-month price-to-earnings (TTM PE) ratio over 30, ...