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Investors seeking growth at a reasonable cost should explore NASDAQ:META.

By Mill Chart

Last update: Mar 11, 2024

Our stock screener has singled out META PLATFORMS INC-CLASS A (NASDAQ:META) as an attractive growth opportunity. NASDAQ:META is demonstrating remarkable growth potential while maintaining strong financial indicators, making it a reasonably priced option. We'll explore this further.

Growth Insights: NASDAQ:META

A key component of ChartMill's stock assessment is the Growth Rating, which spans from 0 to 10. This rating evaluates diverse growth factors, such as EPS and revenue growth, considering both past performance and future projections. NASDAQ:META has received a 7 out of 10:

  • META shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 73.66%, which is quite impressive.
  • Measured over the past years, META shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.50% on average per year.
  • The Revenue has grown by 15.69% in the past year. This is quite good.
  • META shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.29% yearly.
  • Based on estimates for the next years, META will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.82% on average per year.
  • Based on estimates for the next years, META will show a quite strong growth in Revenue. The Revenue will grow by 10.57% on average per year.

What does the Valuation looks like for NASDAQ:META

An integral part of ChartMill's stock analysis is the Valuation Rating, which spans from 0 to 10. This rating evaluates diverse valuation factors, including price to earnings and cash flows, while considering the stock's profitability and growth. NASDAQ:META has received a 5 out of 10:

  • META's Price/Earnings ratio is a bit cheaper when compared to the industry. META is cheaper than 64.18% of the companies in the same industry.
  • Based on the Price/Forward Earnings ratio, META is valued a bit cheaper than 65.67% of the companies in the same industry.
  • Based on the Enterprise Value to EBITDA ratio, META is valued a bit cheaper than the industry average as 65.67% of the companies are valued more expensively.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of META indicates a somewhat cheap valuation: META is cheaper than 68.66% of the companies listed in the same industry.
  • META's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • META has an outstanding profitability rating, which may justify a higher PE ratio.
  • META's earnings are expected to grow with 21.73% in the coming years. This may justify a more expensive valuation.

Evaluating Health: NASDAQ:META

ChartMill utilizes a Health Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of liquidity and solvency ratios, both in absolute terms and in comparison to industry peers. NASDAQ:META has earned a 8 out of 10:

  • META has an Altman-Z score of 12.20. This indicates that META is financially healthy and has little risk of bankruptcy at the moment.
  • With an excellent Altman-Z score value of 12.20, META belongs to the best of the industry, outperforming 95.52% of the companies in the same industry.
  • The Debt to FCF ratio of META is 0.44, which is an excellent value as it means it would take META, only 0.44 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 0.44, META belongs to the top of the industry, outperforming 83.58% of the companies in the same industry.
  • A Debt/Equity ratio of 0.12 indicates that META is not too dependend on debt financing.
  • A Current Ratio of 2.67 indicates that META has no problem at all paying its short term obligations.
  • A Quick Ratio of 2.67 indicates that META has no problem at all paying its short term obligations.

Profitability Analysis for NASDAQ:META

ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. NASDAQ:META has earned a 8 out of 10:

  • The Return On Assets of META (17.03%) is better than 92.54% of its industry peers.
  • The Return On Equity of META (25.53%) is better than 92.54% of its industry peers.
  • With an excellent Return On Invested Capital value of 21.19%, META belongs to the best of the industry, outperforming 95.52% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for META is significantly above the industry average of 9.38%.
  • The Profit Margin of META (28.98%) is better than 95.52% of its industry peers.
  • META has a better Operating Margin (36.41%) than 100.00% of its industry peers.
  • META's Gross Margin of 80.75% is fine compared to the rest of the industry. META outperforms 74.63% of its industry peers.

Our Affordable Growth screener lists more Affordable Growth stocks and is updated daily.

Our latest full fundamental report of META contains the most current fundamental analsysis.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.

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META PLATFORMS INC-CLASS A

NASDAQ:META (4/19/2024, 5:20:04 PM)

After market: 479.03 -2.04 (-0.42%)

481.07

-20.73 (-4.13%)

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