After a month-long slump in its stock, Meta Platforms (META) is up 7% in the past week following its latest earnings report. The stock rocketed as much as 12% last Thursday after its Q2 2025 earnings beat expectations and outlined a strong outlook for the quarter ahead. The Facebook developer saw a 22% revenue increase to $47.52 billion, driven by AI-powered advertising. With growing optimism around META stock, analysts are forecasting big gains in the months ahead, with one even suggesting a 4-digit target.

Wall Street is optimistic and maintains a “Strong Buy” consensus rating on Meta stock, reflecting confidence in the social media giant’s growth story, particularly as it integrates AI into its products. One analyst on The Street is extremely bullish, projecting META to $1,086, representing a potential upside of around 41.5% from current levels.

Meta to $1,000 Before The Year is Out? How AI Could Drive Gains

Shares of the Mark Zuckerberg-led tech giant have gained 31% since Meta reported its Q1 results in late April. The stock has been helped by easing tariff concerns and Meta’s strong outlook, which it provided with its Q1 results. In addition, it’s seen a heavier lean towards AI under Zuckerberg’s recent plans for AI advertising. The Meta CEO has pledged to spend “hundreds of billions” on AI infrastructure, including building a Manhattan-sized data center. Based on the stock’s 20% gains year-to-date, META investors are welcoming the approach, and forecasts for the future are blooming.

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Meta stock has a consensus rating of “Strong Buy” from the 54 analysts actively covering the stock, according to BarChart. Meanwhile, CNN rates the stock a 10/10, with 86% of 72 analysts surveyed suggesting to buy now. Its gains and innovations this year, compared to rivals Microsoft and Google, are incredibly promising. So far, while its expenditure is high, Meta’s revenue has countered it enough to make all of the AI investments worth it.

Overall, by enhancing user engagement, improving content discovery, and boosting ad performance, AI is driving significant gains across Meta’s platforms. With billions of users and strong momentum in both user activity and advertising revenue, Meta’s strategic focus on AI is paying off and will drive its stock’s long-term growth.