Why Meta Platforms Stock Flopped on Friday
The king of social media wasn't looking so regal at the end of the trading week. Meta Platforms (NASDAQ: META) took a nearly 4% hit to its share price that day, on the back of a price-target cut from a prominent investment bank, plus a rival's poach of a veteran executive.
That morning, Morgan Stanley analyst Brian Nowak whipped out his scissors for a dramatic cut on Meta stock. Nowak reduced his price target to $225 per share from the previous $280. That doesn't make him a Meta bear, though, as he's maintaining his overweight (i.e., buy) recommendation on the stock.
The prognosticator's main concerns are the drops in engagement and a focus on Reels, which the company launched globally in February for users of Facebook and Instagram. This is a short video feature reminiscent of TikTok's highly popular, user-generated video briefs.
Source Fool.com
