Meta stock soars after hours, analyst warns of 'magnitude' of move
Brent Thill, Jefferies Equity Research Analyst, analyzes Meta's stock pop after earnings.
You can see the full interview here.
Key video highlights
00:25 On how Instagram has improved
00:40 On better ad targeting
00:55 On other social platforms
01:30 On the stock move
BRENT THILL: Look, anyone that was on Instagram and that had been giving them the accurate data of who you are and what you like is only seen incredible, incredible targeting, which is what I want. I don't want to tell the system I'm 80 years old, and I get an ad for a bathtub that the side of the bathtub opens. I don't need that yet. I will at some point. But I don't want to see that. So my point is, like, the initial people that were onboarding or surfing the platform, yeah, it wasn't maybe as good, but I think, look, it's only gotten better for me as a user.
And I think your reporter also mentioned his experience, too. So those of us that have been using it are only finding what I would consider insane targeting, better targeting, and better ad placement than anyone. So if I care about the band or sports or whatever, like, that's why I'm on the platform. And there's a lot of other platforms that do not give that to you. Snap is one of them. Just the usability is just not exciting.
And so I think there's a lot of other social platforms that Facebook and others have said this, that their ability and their size and their scale to fight through the Apple changes, they'll come out on the other side. It feels like we're coming out on the other side of the tunnel right now. I just don't know if we're about to go into a tunnel that's dark because advertisers now start to pull back because of the macro through this year.
And that's still the big worry that we're keeping an eye on. And then, again, the magnitude of the move now with the stock at 180, now we're talking, like, gains of pretty much outperforming almost any tech stock year to date. That's a concern, the magnitude of this move.