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Meta Platforms posts strong Q1 growth with 33% revenue rise and AI-driven ad gains despite challenges.

Company Fundamentals
16 May 2026
Seeking Alpha
View Source
Bullish
pluang ai news

Meta Platforms reported a strong first quarter with 33% year-over-year revenue growth and a 62% increase in earnings per share, driven by improved AI-powered ad targeting. While Reality Labs continues to impact profitability negatively, the company’s accelerating ad monetization and increased capital expenditures on AI justify optimism. Despite some legal risks and soft guidance for Q2, Meta’s investments in physical AI and robotics support a positive long-term outlook. The stock remains undervalued with a forward P/E ratio about 14% below its five-year average, making it a compelling buy for investors.

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