Major Bank Ratings | Goldman Sachs: Raises Meta Target Price to $835, Reiterates "Buy" Rating

Glonghui, January 30｜Goldman Sachs released a research report stating that Meta's Q4 2025 financial report highlights two core themes: the continued growth momentum of its core advertising business (user growth/engagement and monetization), which is expected to significantly accelerate as AI begins to demonstrate large-scale impact on content recommendation and the advertising industry; and sustained forward-looking investments. Goldman Sachs forecasts GAAP total expenses for fiscal year 2026 to be approximately $166 billion, with total capital expenditures around $132 billion. As AI continues to expand, management's commentary focuses on optimizing internal costs, but there is still a lack of clarity regarding investment planning for 2027 and beyond. The bank reiterated its "Buy" rating on Meta and raised its target price from $815 to $835. This is the second time in the past month that it has raised its fiscal year 2026 revenue forecast, now expecting it to reach approximately $251 billion (a year-on-year increase of 25%, or 21% year-on-year growth excluding currency effects).