Meta Stock Q4 Earnings Top Expectations Company Initiates Dividend

Meta Platforms (META) stock soars after better than expected earnings and first dividend announcement, leading to a tech futures rally.

Meta Platforms, the parent company of Facebook and Instagram, has had a stellar year in terms of stock performance. The company reported earnings that surpassed expectations and announced its first dividend, causing shares to surge late Thursday.

For the December-ending quarter, Meta Platforms earned $5.33 per share on sales of $40.1 billion, exceeding analysts' projections of $4.82 per share on $39.1 billion in sales. Additionally, the company declared a dividend of 50 cents per share, payable on March 26 to shareholders on record as of Feb. 22.

Year-over-year, sales for the quarter increased by 25% and earnings increased by an impressive 203%. Looking ahead, Meta Platforms projected sales between $34.5 billion and $37 billion for the current quarter, outperforming analysts' expectations of $33.9 billion in sales for the March quarter.

Prior to the report, Meta stock had already gained 1.2% in Thursday trading, closing at $394.78. Since the beginning of the year, shares have increased by 14%, contributing to a 194% surge in the previous year. With a highest-possible 99 IBD Composite Rating, Meta Platforms demonstrates strength across various technical and fundamental metrics associated with strong stock performance.

In conclusion, Meta Platforms has continued to deliver positive results for investors, solidifying its position as a top performer in the tech industry. As the company continues to innovate and expand its offerings, it remains a compelling option for those seeking growth stocks.

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