Meta Platforms price target lowered to $500 from $555 at Goldman Sachs

Goldman Sachs lowered the firm’s price target on Meta Platforms to $500 from $555 and keeps a Buy rating on the shares. The company reported a solid Q1 operating report that was punctuated by strong revenue trends, but its forward commentary was framed around decelerating revenue in Q2 and a stepped-up investment cycle which caused both fiscal 2024 total GAAP expense and capex guided ranges to be moved higher, the analyst tells investors in a research note. The firm says such a narrative results in a slight reduction in forward revenue trends and a more pronounced change in multi-year spending cadence. That said, Goldman notes Meta has historically been able to effectively navigate such investment cycles and execute to position the platform for long-term success.