Meta Platforms Q3 Earnings: Revenue Beat, EPS Beat, Daily Actives Up 5%, 'Strong Momentum' In AI

Meta Platforms Q3 Earnings: Revenue Beat, EPS Beat, Daily Actives Up 5%, 'Strong Momentum' In AI.

Transcript

00:00We're going to start with the unpredictable. The first one that reported was indeed Meta,

00:05and it was all over the place on this report, Joel. Up, down, and then down, up.

00:12Yeah, so Meta reported EPS of $6.03 that beat the $5.25 estimate. Sales came in at $40.58

00:22billion that beat the $40.28 billion estimate. And so beat on both EPS and revenue there,

00:32but then some kind of concerning user numbers for Meta. So the daily active users,

00:38they said jumped up 5%, but the market decided that it wasn't good enough of a report.

00:46Whatever the market was expecting for the amount of users or the user growth,

00:51Meta actually reported slightly lower than that. And then the stock went down. I think Zuckerberg

00:56also talked about AI spend in 2025, saying they're going to keep spending a lot of money on

01:03GPUs and whatnot for their AI spend. So obviously, if they're spending more money,

01:08if they're doing more capital expenditure in the short term, that could hurt earnings in the next

01:12few quarters. But obviously, if Zuckerberg thinks that this is going to drive growth in the future,

01:17then maybe if you're a long-term shareholder, you don't mind them spending some money now on AI.

01:22Next quarter, some good, some bad here. Bar was super high. I mean, the stock basically went out

01:30near an all-time high. So when we talk about it all being about the bar, bar, high, stock, down.

01:37I mean, this is kind of the story here. This earnings season has been all about the bar,

01:41and it's all been about expectations. And I think everybody's expecting Meta to absolutely blow it

01:47away. And even though the quarter was decent, not decent enough to get above the bar.

01:54Ah, boom, boom, throw out the high, throw out that low, which was well under 560 in the pre-market.

02:00You're 19 bucks above that. So I don't, boy, oh boy, what was that pre-market low? Boy,

02:06the algo's a little bit crazy. 554.85. Really? Stop. Did it hit 554 on that initial print?

02:15I never saw that. Wow. That's like blink of an eye algo stupidity. I never saw it down there.

02:24When I brought it up, it was like 570. So I didn't even notice that. That's crazy. But I

02:28do see the line there. So it looks like it did it. Wow. Yeah, boy. I mean, unless the market

02:37completely falls apart, I'm not going to be looking for that number. If I was looking,

02:42I mean, there's a lot of levels in between here at this 560 level. That's still 19 bucks away. So

02:49562, that's 16 bucks away. I don't even think you're going to get that.

02:54Where is the next daily low? I'm going to focus on 571.72. So no man's land. I'm just going to

03:00concentrate on resistance because after you had the crazy algo-ness, you kind of settled down.

03:07There's someone perched at 581. So we get through 581, boom, we'll maybe get to the bottom

03:14of yesterday's range. But that's the only thing I can give you. And that's on a 15-minute chart.

03:20So that's not even like a quarter star number. Price discovery. Let's see if it can get above 581.