Meta Platforms Stock Has Become a Bargain
The recent tech selloff may have gone too far. And Facebook parent Meta Platforms' (NASDAQ: FB) beaten-down valuation may help illustrate why. Consider this: Slower-growing Coca-Cola (NYSE: KO) and McDonald's (NYSE: MCD) have higher price-to-earnings ratios than Facebook. Today, Meta Platforms has a price-to-earnings ratio of 23.6, while Coca-Cola's and McDonald's are 29.7 and 27.0, respectively.
Sure, some tech stocks may have gotten ahead of themselves in 2020 and into the beginning of 2021. But the recent tech sell-off may have not only hit some stocks too hard but also beat down some companies' shares that were already trading at conservative valuations. Facebook stock is one of these securities that arguably went from undervalued to a straight-up bargain.
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Source Fool.com
