Meta Platforms Stock: Value Play or Value Trap?

Meta Platforms (NASDAQ: META), formerly known as Facebook, is still one of the biggest names in the tech industry. It's the "F" in the FAANG acronym used to denote five major tech companies in the market these days. At least it is for the moment.

Since the company pivoted its primary development focus on its metaverse offering (hence the name change to Meta Platforms), investors have been second-guessing the decision and abandoning the stock. The stock price is down roughly 50% since it announced its name change on Oct. 21, 2021. The name change itself has little to nothing to do with the price fall. What has investors concerned is the business results, which have been pretty lackluster.

The stock price has fallen enough that the valuation puts Meta in value investing territory, despite being a growth name. But does the drop make Meta Platforms a great value play? Or is it just a value trap that will burn investors?

Source Fool.com