META PLATFORMS INC-CLASS A (NASDAQ:META) Fits Minervini’s Trend Model with Strong Momentum and Growth Fundamentals

META PLATFORMS INC-CLASS A (NASDAQ:META): A Strong Momentum Choice Matching Minervini’s Trend Model

Mark Minervini’s Trend Model is a structured way to find stocks in clear uptrends by analyzing price movement, moving averages, and relative performance. The method focuses on stocks showing steady upward movement, trading above important moving averages, and leading their sectors. Paired with a High Growth Momentum (HGM) score, which looks at earnings, revenue growth, and profitability, this tool helps investors find stocks with both technical and fundamental strength.

META PLATFORMS INC-CLASS A (META) is a standout choice that fits these conditions, making it an interesting option for investors focused on growth. Here, we explain why META matches Minervini’s approach and how its strong growth fundamentals add to its appeal.

Why META Matches the Minervini Trend Model

1. Price Above Important Moving Averages

   • META’s current price ($790.00) is significantly higher than its 50-day ($717.44), 150-day ($651.46), and 200-day ($635.78) moving averages. This confirms a solid upward trend across short-, medium-, and long-term periods.
   • The 50-day MA is higher than both the 150-day and 200-day MAs, a key Minervini requirement showing increasing momentum.

2. Rising Moving Averages

   • The 200-day MA has been moving upward for months, supporting long-term strength.
   • The 150-day MA is also climbing, further confirming ongoing positive momentum.

3. High Relative Performance

   • META’s relative performance (RS) score of 89.45 means it beats nearly 90% of all stocks in the market.
   • In the Interactive Media & Services industry, META ranks in the top 14%, showing sector leadership.

4. Close to 52-Week High

   • The stock is trading within 0.5% of its 52-week high ($793.67), a sign of strong momentum.
   • It has also gained ~65% from its 52-week low ($479.80), meeting Minervini’s rule of being at least 30% above its yearly low.

High Growth Momentum Fundamentals

Beyond technicals, META’s fundamentals highlight strong growth, making it appealing for momentum investors:

• Earnings Growth:

  • EPS grew 41% YoY (TTM), with consistent quarterly beats (4 out of the last 4 quarters, averaging a 16.6% surprise).
  • Recent quarterly EPS growth rates: +38.4% (Q2Q), +36.5% (Q-1), +50.5% (Q-2)—showing steady improvement.

• Revenue Growth:

  • Revenue rose 19.4% YoY (TTM), with recent quarterly growth of +21.6% (Q2Q), +16.1% (Q-1), +20.6% (Q-2).
  • Analysts have increased next-year revenue estimates by 0.85% over the past three months, showing confidence in continued growth.

• Profit Margins:

  • Margins remain solid at 38.6% (last quarter), up from 28.98% two years ago, reflecting better efficiency and pricing control.

Technical Analysis Overview

ChartMill’s technical report gives META a perfect 10/10 score, noting:

• A clear uptrend in both short- and long-term periods.
• Leadership in its sector and market-wide outperformance.
• Multiple support levels (e.g., $695.20–$722.67, $682.35) offering downside protection.

However, the setup score is 3/10, meaning while the stock is technically strong, its recent volatility makes it less ideal for an immediate entry. Investors may prefer to wait for a pause or pullback to a key support level before buying.

Read the full technical analysis here.

Finding More High-Growth Momentum Stocks

META is one example of a stock fitting Minervini’s Trend Model and high-growth standards. For investors looking for similar opportunities, our High Growth Momentum + Trend Model screen offers a selected list of stocks with strong technicals and improving fundamentals.

Disclaimer: This analysis is for informational purposes only and does not constitute investment advice. Always conduct your own research or consult a financial advisor before making investment decisions.