Published Date : 5/10/2025
The consensus among Wall Street analysts suggests that, among the nine artificial intelligence stocks with trillion-dollar valuations, Meta Platforms is the most undervalued. This is a significant insight for investors looking to capitalize on the AI revolution.
Meta is leveraging artificial intelligence to enhance engagement and advertising outcomes across its industry-leading portfolio of social media properties. The company owns three of the four most popular social media networks—Facebook, Instagram, and WhatsApp—each of which attracts billions of daily users. This massive user base makes Meta a crucial advertising partner for countless brands.
Meta recently debuted augmented reality smart glasses and has ambitious plans to integrate superintelligence into its products, aiming to create the next major personal computing product. These innovations are expected to drive significant growth and maintain Meta's leadership in the tech industry.
Ten companies traded on U.S. stock exchanges currently have market values of at least $1 trillion, and nine of them are deeply involved in artificial intelligence (AI). Here is a list of these companies, ranked by the upside (or downside) implied by the median target price among Wall Street analysts as of October 3:
1. Meta Platforms (NASDAQ: META) : Median target of $880 per share, implying 22% upside.
2. Microsoft : Median target of $630 per share, implying 21% upside from the current price of $520.
3. Amazon : Median target of $265 per share, implying 19% upside from the current price of $223.
4. Broadcom : Median target of $393 per share, implying 15% upside from the current price of $342.
5. Nvidia : Median target of $214 per share, implying 13% upside from its current price of $189.
6. Alphabet : Median target of $245 per share, implying no change from the current price of $245.
7. Apple : Median target of $250 per share, implying 3% downside from the current price of $228.
8. Taiwan Semiconductor : Median target of $286 per share, implying 3% downside from its current price of $228.
9. Tesla : Median target of $354 per share, implying 18% downside from the current price of $430.
Based on these forecasts, Meta Platforms is the best trillion-dollar AI stock to buy now, though Microsoft and Amazon are close behind. Let’s delve deeper into why Meta is a compelling investment.
Meta Platforms owns three of the four most popular social media networks, including Facebook, Instagram, and WhatsApp, as measured by monthly active users. These platforms attract 3.4 billion people daily, making Meta a key advertising partner for countless brands. Investments in artificial intelligence (AI) are only strengthening the value proposition.
Meta is using AI to create more engaging experiences across its social media platforms. CEO Mark Zuckerberg says, 'AI is significantly improving our ability to show people content that they're going to find interesting and useful.' Users spent 5% more time on Facebook and 6% more time on Instagram during the second quarter due to improvements in the underlying recommendation engines.
In addition to enhancing user engagement, AI is also boosting Meta’s advertising revenue. The company’s advanced AI algorithms help advertisers target their audience more effectively, leading to higher ad performance and better returns on investment. This dual benefit—increased user engagement and improved advertising outcomes—positions Meta for sustained growth in the AI-driven future.
Meta’s commitment to innovation and its strategic investments in AI make it a standout choice for investors looking to benefit from the ongoing AI revolution. Whether through its social media platforms, augmented reality products, or future AI-driven innovations, Meta is well-positioned to deliver significant value to its shareholders.
Q: What makes Meta Platforms the best AI stock to buy now?
A: Meta Platforms is the best AI stock to buy now because it is the most undervalued among trillion-dollar AI stocks, with a median target price implying 22% upside. The company’s strong social media presence and investments in AI are driving significant growth and engagement.
Q: How is Meta using AI to enhance user engagement?
A: Meta is using AI to improve the content recommendation engines on its social media platforms, such as Facebook and Instagram. This has led to users spending more time on these platforms, which in turn increases advertising revenue.
Q: What are some of Meta’s recent AI-driven innovations?
A: Meta has recently introduced augmented reality smart glasses and is working on integrating superintelligence into its products. These innovations aim to create the next major personal computing product and drive future growth.
Q: How does AI benefit Meta’s advertising partners?
A: AI helps Meta’s advertising partners by improving the targeting and performance of their ads. Advanced AI algorithms ensure that ads are shown to the most relevant audience, leading to higher engagement and better returns on investment.
Q: What other trillion-dollar AI stocks are worth considering?
A: Other trillion-dollar AI stocks worth considering include Microsoft, Amazon, and Broadcom. These companies also have significant AI initiatives and are expected to deliver strong returns, although Meta remains the most undervalued among them.