TSP Weekly Tech Stock Update—April 6, 2024
This Week: HubSpot jumps on buyout speculation, META new record high, Mizuho upbeat on AWS growth potential, Jefferies bullish on MSFT, Rosenblatt upgrades SNOW, PANW battles CRWD in the cloud & more.
Hello from Rob…
—Meta (META, $527.34) shares on Friday hit a new record high of $530.70.
Jefferies this week raised its Meta price target to $585 from $550 based on an upbeat outlook for the company’s advertising revenue. I wrote about Meta’s ad revenue recovery back in December, when the stock was trading around $335.
Jefferies now believes Meta has the ability to capture 50% of incremental industry ad dollars in 2024, a record for the company and well above the 2023 rate of 33%. For 2024, Jefferies thinks Meta’s ad revenue could expand by 20% (versus the industry average of +9%) thanks to scaling generative AI tools adding to the company’s “already best-in-class” Advantage+ product suite.
The firm believes Meta’s market share gains will further accelerate this year and estimates that the company’s ad business in 2024 can outgrow Amazon’s for the first time since 2015.
*Inside This Issue: New Snowflake Products On Deck
—Paid subscribers will receive the April 2024 PDF of Tech-Stock Prospector (TSP #266) via email on Tuesday, April 9.
—Paid subscribers have access to the TSP Market Overview and TSP Portfolio Updates sections inside this issue.