META stock: A Rare Value Play in Blue Chip Stocks
At a time when most large-cap stocks trade at a 5%–10% discount to their Wall Street consensus value estimates, it is refreshing to see that Meta Platforms Inc. (META) , one of the best-performing stocks of the past few years, is trading at a materially larger discount. Should we buy or not? Let’s take a closer look at META stock.
Analyst Sentiment Remains Exceptionally Strong
Courtesy of Seeking Alpha, we can see that META is universally favored by Wall Street analysts. Over the past 90 days, 67 analysts have updated their views on the stock, including 50 Strong Buys, 10 Buys, and 7 Holds. There are no Sell or Strong Sell ratings. This is about as strong a consensus as one can find.
Let’s also examine price targets, again courtesy of Seeking Alpha.
Price Targets Show an Unusual Discount
As readers can see, META has historically traded close to consensus estimates. At the current price of USD 658, the stock trades at a 27% discount to the consensus target — one of the largest discounts observed over the past five years. Moreover, the current share price is below even the lowest published price target of USD 685. By this measure alone, META appears attractively valued.
We will remain with analyst estimates slightly longer than usual and review quarterly revisions as well.
Despite the stock being down approximately 20% from its September 2025 highs near USD 800, recent quarterly analyst revisions remain net positive, suggesting continued confidence in the company’s earnings outlook.
For additional valuation context, we turn to Finviz.
Valuation and Short Interest Context
META’s forward P/E ratio of 22 broadly aligns with the S&P 500 and sits below that of the NASDAQ-100. This valuation reflects META’s expected earnings growth of approximately 12% annually over the next three to five years.
By comparison, analysts expect the NASDAQ-100 to grow closer to 17% per annum. We also note META’s short float, which stands at a benign 1.47% of shares outstanding. This low level indicates that few investors maintain short positions and reflects generally bullish sentiment.
Conclusion
In a market where most blue-chip stocks trade at or near their consensus price targets, META stands out as trading at more attractive levels. The stock currently trades at a 27% discount to average consensus estimates. Analysts broadly favor the company, quarterly earnings estimates for the next six quarters remain stable, and short interest stays low.
Ideally, we would prefer upside potential of 35%–40% in individual equity names. However, the current market environment does not offer many such opportunities. While a broader market correction could pressure META shares further, predicting market corrections is not our objective.
Our focus remains on identifying relative value. At current levels, META offers valuation support that many other blue-chip stocks — and the broader market — do not.