Could Meta Platforms stock hit $700 this year? The numbers say it might

Meta’s $700 dream might not be crazy

Meta has been one of the best-performing large tech stocks of the past decade, but whether it reaches $700 by the end of 2026 remains uncertain. The outcome will depend on future earnings, spending levels, and how investors value the company over the rest of the year.

As of March 20, 2026, Meta closed at $593.66, leaving room for upside but also requiring a meaningful gain from current levels. Any path to $700 would depend on stronger financial results, improving sentiment, or both.

A decade of massive growth sets the stage

Meta has posted enormous long-term gains and remains one of the most valuable publicly traded companies in the world. As of March 2026, its market capitalization was roughly $1.5 trillion, reflecting its scale and long-run growth.

That historical performance helps explain why investors continue to watch the stock closely. Even so, future gains will depend on new results rather than past returns alone.

Costs are rising faster than revenue

One major concern is how quickly Meta’s costs are growing. The company expects total expenses to jump 41% this year, reaching around $165.5 billion at the midpoint.

At the same time, analysts expect revenue to grow by 25%. That is strong, but it still trails the surge in spending, creating pressure on overall profitability.

Profit growth could slow sharply

Between 2020 and 2025, Meta delivered strong operating income growth at a compound annual rate of 21%. That pace may not continue this year as expenses climb faster.

In fact, projections suggest operating income may rise by just 3% in 2026. That slowdown could catch some investors off guard if they are expecting the same rapid growth.

Little-known fact: Meta rebranded from Facebook in 2021 to reflect its long-term focus on the metaverse and emerging technologies.

Margins are heading in the wrong direction

Meta’s operating margin is expected to drop to 34% in 2026. That is a noticeable decline from 41% in 2025 and 48% in 2024.

This downward trend reflects rising costs tied to big investments. Shrinking margins do not mean the business is weak, but they can affect how investors value the stock.

AI spending is driving the surge

A big reason behind the rising costs is Meta’s aggressive push into artificial intelligence. The company is spending heavily to hire top talent and build advanced systems.

These investments are expensive, but they are also critical for staying competitive. Meta is betting that AI will power its next wave of growth across its platforms.

Heavy investments come with hidden costs

Beyond hiring, Meta is also dealing with large depreciation and amortization expenses. These come from massive capital investments in infrastructure and technology.

While these costs support long-term growth, they weigh on current financial results. This is another factor contributing to the expected margin compression.

Valuation could be the real game changer

Even if profit growth slows, valuation can still lift the stock price. Right now, Meta trades at an EV to EBIT multiple of 19.4, below its recent average.

If the market becomes more optimistic and that multiple rises back toward its one-year average of 21.4, the stock could gain additional upward momentum.

Add it up and $700 starts to make sense

When you combine the projected 3% operating income growth with a potential 10% valuation boost, Meta stock could rise roughly 14% this year.

That increase would bring shares close to the $700 mark. It is not guaranteed, but the math shows that the target is within reach under current assumptions.

Little-known fact: Meta Ray-Ban glasses sales tripled in 2025, with more than 7 million units sold worldwide.

Better results could push it even higher

If Meta delivers stronger than expected financial performance, the stock could exceed current projections. Faster revenue growth or lower costs would improve the outlook.

In that scenario, investor enthusiasm could increase even more. That combination might push the stock beyond $700 instead of just approaching it.

There are still risks investors can’t ignore

Despite the optimistic outlook, there are clear risks. Rising costs, slowing profit growth, and shifting valuations could all limit upside.

Investors also need to remember that even strong companies do not always meet expectations. Market conditions can change quickly and impact stock performance.

Curious how other tech giants are positioning themselves? You might want to read how Google is preparing Gemini features to ease the transition from ChatGPT.

So will Meta actually hit $700 this year

The numbers suggest that Meta reaching $700 is possible, but not guaranteed. It depends on a mix of financial performance and how the market values the company.

For now, the path is there, but it comes with uncertainty.

Want to see how these AI decisions are already paying off for the company? Check out how Meta is leaving Microsoft behind with AI-driven ad gains.

What do you think about Meta’s chances of hitting $700 this year? Share your thoughts.

This slideshow was made with AI assistance and human editing.

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