Should I Buy Meta (META)? — Finance YouTuber Analysis

The YouTuber continues to buy Meta (META) due to its perceived undervaluation and new monetization opportunities. He highlights the rollout of Meta Business Agents, an AI-powered tool for businesses on WhatsApp, Messenger, and Instagram, which is expected to become a significant, high-margin, recurring revenue stream. He argues that Meta's massive user base and distribution position it to win in the AI world, and even with conservative DCF assumptions (15% operating cash flow growth, 13x price to operating cash flow), the stock shows strong upside potential.

“I have continued to buy more shares of Meta on a consistent basis in the market because I think that this stock is also truly undervalued in the market today.” — ▶ 37:50

The YouTuber is buying Meta shares, believing the stock is undervalued. He highlights Meta's new subscription plans for Instagram, Facebook, and WhatsApp, which could generate billions in annual recurring revenue and diversify its business beyond advertising. He also notes the strong growth in business AI conversations and the potential for multiple expansion as Meta's internal capex spend yields high ROI, making its advertising business more efficient.

“And ultimately I think that the stock is undervalued and looking cheap today. So those are the new updates that I have to share on Meta after their subscription announcement and after their AGM and also why I am continuing to buy Meta actively in the market and I even purchased some more shares today.” — ▶ Watch clip

The YouTuber identifies Meta as a potential buying opportunity, believing it to be one of many stocks with strong fundamentals that have been 'left behind' by the market's focus on AI and semiconductors. He suggests that despite the S&P 500 being at all-time highs, there is significant value in such overlooked companies.

“Just take a look at Skyward. Take a look at BAM. Take a look at Mastercard Visa Microsoft even Nvidia. Arguably, Marcato, Libre, New Bank, Meta, Brookfield Corporation, KKR, Apollo.” — ▶ 40:40

The YouTuber believes Meta is undervalued after its Q1 earnings sell-off, arguing the market is overreacting to increased capex and short-term margin compression. Meta is showing strong top-line acceleration and gaining market share in digital advertising, suggesting its investments are paying off. The stock is trading below its historical average forward P/E and price-to-operating cash flow, making it an attractive long-term buy.

“In my opinion, Meta is one of the highest quality businesses in the entire world and it's now trading for below a 20 forward price to earnings ratio at the same time as the top line is projected to continue growing by over 20% annually.” — ▶ Watch clip

The YouTuber is buying Meta shares due to strong Q1 2026 earnings, including 33% revenue growth and 30% operating income growth, despite increased capex and a one-time tax benefit. He believes the core advertising business is accelerating, taking market share, and is undervalued based on his conservative discounted cash flow (DCF) analysis, which projects a 17% compounded annual growth rate.

“I think that it is a very highquality business that's accelerating and offering a discount in the market today. So yes, I have nibbled on some more shares and increased my position to Meta while the stock is down.” — ▶ 20:00

The YouTuber suggests Meta Platforms as a buy, noting its 23% pullback from recent highs despite strong underlying business performance, including 33% revenue growth and expanding operating margins. He attributes this to Meta's successful rebuild of its AI-powered ad targeting after Apple's privacy changes and its strategic pivot into AI glasses as a future consumer device.

“The stock is down 23% from its recent high of $796 back in March. While the price was getting cut, the business was doing the opposite. Revenue grew 33% year over year, and operating margins expanded over 800 basis points in that same window.” — ▶ 01:11:00

The YouTuber is buying Meta because its core businesses are printing money and growing double digits, despite past metaverse investments. They believe management is now focusing on the right areas, including AI, and that the company is currently out of favor, offering a cheap valuation for a great stock.

“Great. It's out of favor right now. Please continue to beat this down so I can continue to add to a great stock like Meta at cheap valuations.” — ▶ Watch clip

The YouTuber sees Meta as a great company currently offering a discount due to recent price drops (around 25% from all-time highs). They believe the current pricing is reasonable, especially considering its future moves in AI.

“And right now, we're starting to get good pricing on Meta.” — ▶ 5:40

The YouTuber recommends Meta as a buy, noting that it meets his four criteria for undervalued stocks: retail and Wall Street negativity, cheap valuation (though not as cheap as 2022), and strong, accelerating fundamentals (30%+ growth last quarter). He believes it could offer an 'easy money' opportunity similar to Google last year.

“The fundamentals look great. All four pillars line up for me. So that's why Meta is on my list.” — ▶ 10:00

The YouTuber indicates that if Meta's stock price slips enough to become cheap again, he would consider accumulating shares. He views such dips as opportunities to buy what he considers 'easy money' in the long run, based on past performance.

“with Meta recently slipping again, it could get cheap enough for me to start gobbling up shares again that will print easy money in the end.” — ▶ Watch clip

Henry believes Meta is undervalued because it's evolving beyond social media into a powerful AI advertising and consumer attention business. He points to strong revenue growth (33% YoY), expanding margins due to AI optimization, and its current PE ratio being in line with the S&P 500 despite higher growth rates.

“Meta Platforms is no longer just a social media company. It is becoming one of the most powerful AI advertising and consumer attention businesses on earth.” — ▶ 06:00

The YouTuber is excited to own more Meta, having recently been assigned additional shares. He views Meta as an AI-powered advertising machine with strong revenue growth, expanding operating margins, and significant investment in AI. He notes its P/E ratio of 22 is lower than the S&P 500, making it an attractive long-term investment.

“I am actually excited to be a Meta shareholder. I think that Meta is becoming less of a social media company and more of an AI powered advertising machine.” — ▶ 9:40

The YouTuber recently got assigned Meta shares at $625 and immediately sold a $630 covered call. He is comfortable letting the call expire in the money, as it would result in a profit from the assignment price, in addition to the premium collected from both the put and call options.

“in terms of managing this covered call, really, I'm in good shape because even if it goes into the money, I'm not going to um close this or roll this.” — ▶ 08:00

The YouTuber remains very bullish on Meta, despite recent headlines about potential dilution for AI investments causing a stock drop. He believes Meta is extremely undervalued and that diluting shares at current prices would be unwise, but acknowledges the company's strong AI potential.

“I am still very bullish on Meta. But more recently, there have been a couple of headlines that of course kicked the stock a little bit lower.” — ▶ 10:20

The YouTuber believes Meta is still very cheap despite its size, with a valuation that doesn't make sense given its potential to monetize AI. He expects the market to eventually recognize this, leading to significant upside from current levels.

“Meta in my opinion at even at this size, it just I don't know, valuation just doesn't make any sense to me. We've talked about that time and time again. So, I'm not going to repeat myself. I think it's going to happen sooner rather than later where the market is going to realize that oh, they actually can monetize AI in multiple ways.” — ▶ Watch clip

The YouTuber believes Meta's valuation around $600 is very attractive, especially given its strong progress in AI models like Muspark and its clear monetization strategy through B2B and B2C AI agents. They argue that once the market fully recognizes this, the stock could quickly surpass $800, with a potential price target of $930 within 12 months.

“I think Meta around $600. the valuation is just way too attractive to start looking at maybe some other more speculative names right now because I do feel that once the market figures this out once there is a flip we are going to go quite quickly over $800 maybe here can accord price target is $930 probably over the next 12 months” — ▶ 12:00

The YouTuber believes Meta is undervalued, trading at a low 20s P/E despite strong revenue growth (close to 30%) and a core business that is performing well. He argues that the market is not fully recognizing Meta's investments in AI and its strong underlying business, expecting the stock to eventually be re-rated higher.

“To me it's just a matter of time until the market recognizes that what they are doing with Meta stock right now does not make any sense. a low 20 PE for this company over 20 what 14 billion dollars in revenue generated growing close to 30% it doesn't make much sense.” — ▶ 05:00

The YouTuber expresses a desire to accumulate more shares of Meta if the price drops to around $600, viewing it as a great business available at a cheap valuation. He believes Meta is well-positioned because its LLM will enhance its core business and ecosystem, and it benefits from a large user base and distribution.

“if I can accumulate more shares of Meta at around $600 per share, $1.33 trillion, while we're getting into a SpaceX IPO, that's going to be closer to 2 trillion. While a lot of companies are trading at super high premium, super high multiples, you can get this great business for very cheap.” — ▶ 3:00

The YouTuber believes Meta is extremely undervalued and expects it to reach closer to $1,000 per share within the next 12 months. This suggests a strong conviction in the company's future performance and current valuation.

“I still think Meta is extremely undervalued and I do think that over a past, that's again my opinion, over the next 12 months or so, we should be closer to $1,000 per share.” — ▶ 4:40

The YouTuber believes Meta is undervalued, comparing it to Google in 2015, and highlights its fast growth despite being a cheap company. He argues that the market is underestimating Meta's internal AI investments and the potential for new subscription services to generate significant high-margin revenue, citing Snapchat's success with a similar model. He also suggests that Meta could eventually monetize its compute infrastructure, further boosting its value.

“I do think this is like Google in 2025. It's a cheap company that is growing fast.” — ▶ 10:00

The YouTuber advises buying Meta and having patience, noting that its stock price is currently suppressed due to Zuckerberg's 'out of control spending spree.' He believes that if Wall Street better understands this spending or if spending is cut, the stock will 'blast higher' and could reach $1,200, given its strong revenue growth (33% last quarter) and a forward P/E under 20.

“Zuckerberg's on a complete out of control binge on spending. Okay, if Wall Street can begin to understand why he's spending this much or he cuts back on spending in future years, I mean, that stock's going to blast higher.” — ▶ 27:50

The analyst likes Meta because as a business owner, she spends significant amounts on Meta ads and finds them indispensable for her business. She believes that if she is spending so much, the company is not going anywhere and likes to invest in companies she is already a consumer of.

“As a small business owner, like nothing comes close to meta. And I'm like, if I'm spending this much on meta, it is not going anywhere.” — ▶ Watch clip