After eliminating 11,000 jobs in November 2022, Meta Platforms (NASDAQ:META) could soon announce a fresh round of workforce reductions, Bloomberg reported. Per the report, Meta could remove thousands of employees as it focuses on becoming a more productive organization in 2023 and beyond.
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During the Q4 conference call, the social media giant said it is re-evaluating its projects and reducing management layers to drive efficiency and productivity across the company. The company aims to target cost reduction throughout the organization.
For 2023, Meta projects total expenses to be in the range of $89 billion to $95 billion, which is lower than its previous forecast of $94 billion to $100 billion, reflecting a slower-than-anticipated growth in payroll expenses and cost of revenue.
Meta’s increased focus on cost reduction and driving efficiency has received a thumbs-up from investors. The company’s stock has gained about 54% year-to-date, significantly outperforming the S&P 500 Index (SPX).
While the stock appreciated, let’s look at what the Street projects for Meta.
What’s the Prediction for Meta Stock?
Despite the recent rally, analysts see further upside in Meta stock. Wall Street analysts have an average price target of $215.20 on META, implying an upside potential of 16.39%.
Meta stock has received 35 Buy, six Hold, and three Sell recommendations for a Moderate Buy consensus rating. However, with hedge funds and insiders lowering the exposure to Meta, it sports a Neutral Smart Score of six on TipRanks.
