Meta’s Blowout Q2 Drives Stock To New High In Extended Session — Analyst Says Company Well On Way To Be ‘AI Powerhouse’

Meta Platforms, Inc. (META) shares were on a roll in overnight trading, with the stock eyeing a new all-time high, after the Mark Zuckerberg-led company reported its quarterly financial results.

The stock was up about 12.50% in overnight trading, keeping the stock on track to hit a new high on Thursday.

On Stocktwits, retail sentiment toward Meta stock was ‘extremely bullish’ (95/100) by late Wednesday, with the degree of optimism improving from the day-ago level.  This marked the highest level in about 10 months.

The retail chatter perked up to ‘extremely high’ levels, with the 24-hour message volume leading up to late Wednesday rising over 500%.

A bullish watcher has already set their eyes on the $800 level.

Another user said the stock is a good long-term hold.

Meta’s earnings report released Wednesday after the market closed showed that earnings for the second quarter of the fiscal year 2025 were $7.14, up 38% year over year (Y) and exceeding the Fiscal.ai-compiled consensus estimate of $5.86.

Revenue jumped 22% to $47.52 billion versus the $44.84-billion consensus estimate. Advertising accounted for 98.8% of the total revenue. Realty Labs contributed $370 million to the topline.

On the earnings call, CFO Susan Li said, “Online commerce vertical was the largest contributor to year-over-year growth,” according to a transcript of the call from Koyfin.

Among key user metrics, family daily active people (DAP) rose 6% YoY to 3.48 billion, ad impressions climbed 11%, and average price per ad increased 9%.

The company incurred capital expenditure (Capex) of $17.01 billion during the quarter.

CEO Zuckerberg said, “Zuckerberg, Meta founder and CEO. "I'm excited to build personal superintelligence for everyone in the world."

For the third quarter, Meta guided revenue to be in the range of $47.5 billion to $50.5 billion, compared to the consensus of $46.29 billion. The company predicted a slowdown in revenue growth in the fourth quarter, lapping up a period of stronger growth.

The company has narrowed its 2025 total expense outlook to a range of $114 billion to $118 billion, down from a previous range of $113 billion to $118 billion. 

Meta guided to 2025 capex of $66 billion to $72 billion, raising the lower end from the previous range of $64 billion to $72 billion.

The company stated that it anticipates President Donald Trump’s new tax bill will reduce its federal cash tax for the remainder of the current year and future years.

Commenting on the result, Deepwater Asset Management’s Gene Munster said, “Meta's blowout quarter was the best example to date of AI having a tangible impact on revenue and earnings growth at scale.”

The venture capitalist sees Meta becoming an “AI powerhouse” if Zuckerberg achieves “superintelligence,” an effort to which he has devoted time, resources, and effort.

Meta stock has risen nearly 19% this year.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

Read Next: Sam Altman’s OpenAI Now Rakes In $1B Monthly, Thanks To Explosive ChatGPT User Growth: Report

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