Today's video focuses on Meta Platforms (META -1.54%), formerly known as Facebook, and some bullish and bearish points for the company. Here are some highlights from the video.
- Meta Platforms is a cash-making machine with a healthy balance sheet. In its trailing 12 months, the company reported over $53 billion in cash flow from operations, and it has over $75 billion in current assets with no long-term debt. The strength of its balance sheet and cash flow allows Meta Platforms to be aggressive in future investments.
- Meta Platforms continues to carve an entrance into the metaverse. On Dec. 9, it opened Horizon Worlds, its virtual reality metaverse, to all consumers over 18 in the United States and Canada.
- On the bearish side, investors might be worried about the continued negative sentiment in some consumers' minds concerning Facebook and privacy and about the numerous international and domestic regulations issues facing social media companies now and potentially in the future. These reasons could explain why Meta Platforms is trading at attractable valuations.
Click the video below for my full thoughts and analysis.
*Stock prices used were the midday prices of Dec. 21, 2021. The video was published on Dec. 21, 2021.