Meta Platforms Surpasses Bill Gates in Wealth Rankings with Impressive Earnings Rally

In a surprising turn of events, Mark Zuckerberg has climbed to become one of the top-five richest people in the world, surpassing Bill Gates. This incredible achievement comes on the back of an impressive earnings rally for Meta Platforms (META).

During Meta‘s recent earnings call, the expected stock price movement based on current implied volatility was estimated to be +-$26.66. However, the stock not only exceeded this projection but also soared to a new all-time high of $485.96, marking an astounding $91.18 rally from the previous day’s close.

Meta reported outstanding results for both earnings-per-share (EPS) and revenue, reporting $5.33 EPS and $40.11 billion in revenue. As a significant development, Meta also announced the declaration of a quarterly cash dividend starting in March. This decision indicates Meta’s maturation as a company and could attract more dividend investors to the tech giant.

The advertising demand for Meta continues to be robust, with a 16% YoY increase in revenue. This trend is poised to continue in 2024, with events like the United States election and the Paris Olympics on the horizon. Meta reported a 21% YoY increase in ad impressions delivered across their family of apps in the fourth quarter of 2023, accompanied by a 2% YoY increase in average price per ad.

An analysis of Meta’s long-term chart demonstrates the meteoric rise of the stock. Starting from a recent low of $88.09 in November 2022, Meta’s stock price has skyrocketed, prompting questions about the stock’s future potential. Can it climb even higher, and will it be able to sustain its current levels in the face of a weak overall market?

By examining the expiration cycles for Meta stock options, we can gauge the market’s expectations for the stock price in 2024. The December 2024 options cycle suggests an expected stock price move of +-$111.90 from the current price of $461.92. Consequently, the projected stock price range for the rest of the year stands between $350.02 and $573.82.

These figures provide estimates of what we can anticipate from the tech giant in the coming months. At the end of the year, we can evaluate whether the realized stock price aligns with the current implied volatility or surpasses the expected range.

Meta’s recent earnings call has undoubtedly caught the attention of traders and investors who may not have previously focused on the company. As Meta continues to make waves, it will be intriguing to witness its further growth and impact on the market.