Mizuho applauds Meta Platforms efforts to drive efficiencies

Mizuho analyst James Lee keeps a Buy rating on Meta Platforms with a $210 price target after several news outlets indicated the company could initiate another round of layoffs at a similar scale to the last round at 13% of employees. The analyst applauds the company’s efforts to drive further efficiency during economic uncertainty. The firm estimates total savings of $1.1B for fiscal 2023 could come from headcount reduction as well as potential cost savings of $1.1B from discontinued products and projects in Metaverse and New Product Experiment Groups. Mizuho sees further shares catalysts for Meta if the reported restructuring gets executed along with spending savings from discontinued products.