Facebook/Meta “fair value estimate” at Morningstar is 400/share.

Meta Platforms, the parent of Facebook, reported mixed fourth-quarter 2021 results. Revenue was slightly ahead of expectations but the firm missed on the bottom line. We have slightly lowered our revenue growth assumptions for Meta, resulting in a $400 fair value estimate.

Total fourth-quarter revenue came in at $33.7 billion, up 20% year over year. Advertising revenue increased 25% as businesses continued to allocate their ad dollars to Meta’s platforms. The family monthly active people count increased to 3.59 billion during the quarter, from 3.58 billion in the previous quarter and 3.3 billion the year before. Average revenue generated per person increased 9% from last year and 15% from the prior quarter, indicative of healthy advertising demand. With increase in investments in metaverse and the firm’s advertising offerings, operating margin declined nearly five percentage points to around 33% during the quarter.


I'm starting to nibble, personally. Buying initial position in 1/3rds (starting today @ 219/share), then possibly slowly adding more depending on how other individual stocks do, affecting my cash position.

  • Core ETF holdings: SCHD, SCHY, SCHB, SCHA

  • Individual holdings: AAPL, CRM, GOOGL, FB, DIS


Leave a Reply

Your email address will not be published. Required fields are marked *