Meta Platforms (META) is positioning itself as a leader in AI technology, not only with its recent open-source large language models (LLM) advancements but also by integrating AI into its existing suite of products. While companies like OpenAI have traditionally led in AI innovation, Meta's LLaMA 2 models have gained significant attention, and they are proving to perform on par, if not better, in certain benchmarks. The strategic focus Meta has placed on monetizing these AI tools across its platforms — including Facebook, Instagram, and WhatsApp — gives it a unique competitive advantage.
This commitment to revenue generation from AI sets it apart from other firms still exploring AI potential without clear paths to monetization. If we review the chart for Meta, it has shown strong performance, recently breaking above a key resistance level at $545. Additionally, the relative outperformance against the S & P 500 , confirms the breakout to new all-time highs.
With continued positive momentum and strong support, Meta looks poised for further upside, especially as it capitalizes on AI innovation and integration. Meanwhile, the company boasts robust growth projections with an expected future EPS growth of 22% (industry average of 16%) and a revenue growth rate of 15% (industry average of 11%). What sets Meta further apart is its exceptional profitability, with industry leading net margin of 34%, compared to the industry average of 24%.
With these growth and profitability metric.