Down 43%, Should Investors Buy the Dip in Meta Platforms?

Meta Platforms (NASDAQ: FB) has had an unfortunate year up to this point. The dominant social media platform's stock has plunged 43% year to date, which is quite a collapse compared to the S&P 500 and Nasdaq Composite, which have declined 14% and 24% over the same time period, respectively. The company is struggling in part due to the broader retreat from technology stocks that has resulted from high inflation, the Federal Reserve's decision to raise interest rates in response, and global impacts from the war between Russia and Ukraine.

But the social media company is facing many internal problems as well, and its drastic shift toward the metaverse adds just another layer of risk to its current investment profile. It's important to keep a long-term mindset, however, especially during times of great economic uncertainty. And while Meta's current situation is far from ideal, I think the sell-off has been overdone. This is a stock I see rebounding nicely in the coming years, and one that could provide monstrous returns for patient investors who buy into the company at existing price levels.

Let's dive into Meta's present state and examine why it may offer investors a unique buying opportunity today.

Source Fool.com