META Stock Surges 11% With A 5-day Winning Spree On Rothschild Upgrade To $900
Meta Platforms (META) – a developer of social media and augmented reality products – hit 5-day winning streak, with cumulative gains over this period amounting to a 11%. The company market cap has surged by about $173 Bil over the last 5 days, and currently stands at $1.7 Tril.
The stock has YTD (year-to-date) return of 2.0% compared to 1.9% for S&P 500. This calls for a re-evaluation of the stock’s valuation to find out whether this is an opportunity, or a trap.
What Triggered The Rally?
[1] Rothschild & Co Upgrade and Price Target Hike
- META Crushes Earnings, Then Announces Insane Capex. Now What?
- Pay Less, Gain More: META Tops Alphabet Stock
- How to Get Paid to Buy META at a Steep Discount
- Meta Platforms Stock Shares $183 Bil Success With Investors
- Meta Platforms Stock Hits Key Support – Buying Opportunity?
- Can Meta Platforms Stock Withstand These Pressures?
- Rating upgraded to ‘Buy’ from ‘Neutral’
- Price target increased to $900 from $740
- Impact: Heightened Bullish Sentiment, Increased Investor Confidence
Opportunity or Trap?
Below is our take on valuation.
There is not much to fear in META stock given its overall Very Strong operating performance and financial condition. This is aligned with the stock’s High valuation because of which we think it is Fairly Priced (For details, see Buy or Sell META).
But here is the real interesting point.
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Returns vs S&P 500
The following table summarizes the return for META stock vs. the S&P 500 index over different periods, including the current streak:
| Return Period | META | S&P 500 |
|---|---|---|
| 1D | 0.1% | 0.4% |
| 5D (Current Streak) | 11.4% | 2.7% |
| 1M (21D) | 0.8% | 0.7% |
| 3M (63D) | -8.8% | 2.8% |
| YTD 2026 | 2.0% | 1.9% |
| 2025 | 13.1% | 16.4% |
| 2024 | 66.0% | 23.3% |
| 2023 | 194.1% | 24.2% |
However, big gains can follow sharp reversals – but how has META behaved after prior drops? See META Dip Buyer Analysis to learn more.
Gains and Losses Streaks: S&P 500 Constituents
There are currently 55 S&P constituents with 3 days or more of consecutive gains and 62 constituents with 3 days or more of consecutive losses.
| Consecutive Days | # of Gainers | # of Losers |
|---|---|---|
| 3D | 22 | 35 |
| 4D | 10 | 23 |
| 5D | 17 | 0 |
| 6D | 3 | 4 |
| 7D or more | 3 | 0 |
| Total >=3 D | 55 | 62 |
Key Financials for Meta Platforms (META)
Last 2 Fiscal Years:
| Metric | FY2023 | FY2024 |
|---|---|---|
| Revenues | $134.9 Bil | $164.5 Bil |
| Operating Income | $46.8 Bil | $69.4 Bil |
| Net Income | $39.1 Bil | $62.4 Bil |
Last 2 Fiscal Quarters:
| Metric | 2025 FQ2 | 2025 FQ3 |
|---|---|---|
| Revenues | $47.5 Bil | $51.2 Bil |
| Operating Income | $20.4 Bil | $20.5 Bil |
| Net Income | $18.3 Bil | $2.7 Bil |
While META stock looks attractive given its winning streak, investing in a single stock without detailed, thorough analysis can be risky. The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.