Meta's stock skyrockets by 20% fueled by announcement of its inaugural dividend
Meta's Surge:
Shares soar 20% on Q4 profit tripled, hitting $14 billion. First-ever dividend announce
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Robust Growth:
Q4 revenue jumps 25% to $40.1 billion, marking the fastest growth since mid-2021
Outlook Optimism:
Meta forecasts Q1 sales between $34.5B and $37B, exceeding analyst expectations.
.Generous Returns:Investors to receive first-ever dividend - 50 cents/share on March 26. $50 billion share buyback announced
Market Cap Milestone:
Stock rally adds $200B, propelling Meta's valuation past $1.2 trillion
Maturity Signals:
Analysts applaud dividend as a sign of Meta's maturity and turnaround since 2022 struggles.
AI Dominance:
Meta's LLaMA large language model positions it as a strong AI player. Ben Barringer calls Meta a "closet AI winner."
Year of Efficiency:
CEO Zuckerberg's push for 2023 as a "year of efficiency" reflects Meta's strategic focus.
Metaverse Investments:
Concerns linger over hefty metaverse spending, but Reality Labs unit surpasses $1B in Q4 sales.
Cost-Cutting Success:
Meta's aggressive cost-cutting measures pay off with a doubled operating margin of 41%. Expenses down 8% YoY to $23.73B.