Meta Platforms (NASDAQ:META) is reportedly planning another round of layoffs in order to control costs in 2023. Earlier in November 2022, the social technology company had already reduced its headcount by about 11,000 employees across its Family of Apps and Reality Labs business segments.
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As per a Financial Times report, Meta is currently undergoing a performance review of its staff and is expected to announce fresh cuts by March. This has led to delays in finalizing the project budgets, because of which managers are unable to plan workloads.
It is worth highlighting that in the Q4 earnings call, Zuckerberg mentioned that the company is seeking to remove some layers of middle management to speed up the decision-making process. Also, it would call off projects that are not performing well and seem unimportant.
Regarding the stock price, Meta’s shares have surged about 40% so far in 2023. The strong rally can be attributed to strong Q4 results and the company’s focus on improving its bottom line this year. Furthermore, it increased the share buyback program by a massive $40 billion, which likely boosted investors’ confidence.
Should You Buy META Stock?
At TipRanks, Meta Platforms stock commands a Strong Buy consensus rating based on 34 Buys, six Holds, and two Sells. The average META stock price target of $215.20 implies 23.6% upside potential from the current levels.
