Meta Platforms (NASDAQ:META) is the fifth-most valuable tech company by market cap, having grown considerably in the last decade and a half thanks to the company’s acquisition of both Instagram and WhatsApp.
Previously, Meta had been known as just Facebook. To this day, Facebook is the world’s largest social media platform, clocking in with more than 3 billion monthly active users — 37% of the entire global population.
As a result of its broad reach and continuous expansion, Meta now has a market cap of $1.42 trillion. So, what is the likelihood that it will keep on growing? This article will dive into Meta Platforms with a special focus on its stock price and cover its potential value over the long term.
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Key takeaways
- Meta Platforms (NASDAQ:META) has seen plenty of upside in the past 5 years, growing by +196%.
- The company recently launched Threads, a Twitter competitor, and has also been exploring new ways to connect people online using virtual reality.
- If META sustains its annual rate of return over the coming decades, then it could be valued at $13,726 by the year 2040.
- More conservative estimates using the S&P 500’s historical performance would place META at $8,172 by the year 2050.
Here’s an overview of the potential stock price for META based on past performances in the S&P 500 and NASDAQ.
| 2025 | 2030 | 2040 | 2050 | |
|---|---|---|---|---|
| META stock forecast (5% yearly growth) | $589 | $752 | $1,225 | $1,995 |
| META stock forecast (S&P 500 historical 11.13% ROI – since 1973) | $623 | $1,057 | $3,036 | $8,721 |
| META stock forecast (QTEC historical 15.20% ROI – since 2008) | $646 | $1,311 | $5,398 | $22,219 |
*Projections calculated using META’s stock price at the time of writing, $561.
**S&P 500 has averaged 11.13% CAGR over the past 50 years, and QTEC 15.2% over the last 16 years.
Price history
META has been in a consistent uptrend over the past 10 years, with periods of downside being relatively short-lived. From its starting price of $68 on the 10Y time frame, META stock is now +585% up in total to today’s price of $473.
During this period, META has outperformed the S&P 500’s annualized returns to a significant degree. Over the past 10 years, the S&P 500 has had an annualized rate of return of 12.5%, while META clocks in with 21.22%.
As a result, a $5,000 investment in META 10 years ago with a $100 monthly contribution would now be worth $66,141. In 2023, META recovered from its most significant dip since the company went public, once again setting a new all-time high following a -77% crash in 2022 during a market-wide retracement for tech stocks. At the time of writing, the stock is trading at its all-time high of $561.
META stock forecast 2040
META has added both Instagram and WhatsApp to Facebook and built an impressive portfolio of large-scale social media platforms in recent years. If META stock continues to grow at the same pace as its historical performance, then its 22.12% annualized return over the next 16 years would mean that META’s stock price hits $13,726 by the year 2040. But that rate of growth for a company as mature as Meta seems very improbable, to say the least.
Another method that can be used is the annualized return for First Trust NASDAQ-100-Technology Sector Index (QTEC), which has historically been the home of fast-growing tech companies. QTEC has had a 15.20% annualized return over the past 16 years (since its inception), which would give the META stock forecast a value of $5,398 by the year 2040 — a +1,008% return.
Taking a more conservative estimate, the annualized return for the S&P 500 since 1973 is 11.13%. If META grows at a similar rate until 2040, then its stock price would be $3,036 at the end of the period.
Meta price projection for 2040 based on the S&P 500’s historical growth rate.
META stock forecast 2050
Using the same process as above, META stock would be worth a staggering $101,256 using its past performance as a reference point. However, this may be a bit of an inaccuracy as the stock could be seen as extremely inflated at this point.
With that in mind, the annualized return from both the QTEC and the S&P 500 is a more reasonable benchmark over this time frame. META would be worth $22,219 using QTEC’s rate of 15.2%, while it would be valued at $8,721 using the same metric from the S&P 500.
Meta price projection for 2050 based on the S&P 500’s historical growth rate.
Potential catalysts for growth
Predicting specific catalysts for price appreciation over a long period of time can be difficult, as financial markets are inherently dynamic. However, there are some key factors that could drive price appreciation for META, including continued technical innovation, such as the advent of virtual reality metaverses and growth in user activity within Meta’s social media portfolio.
Technological advancement
Meta Platforms has been at the forefront of technological advancement since Facebook was founded in 2004. The platform rode the wave of interconnectivity that stemmed from widespread internet access and gave its users brand new ways to socialize using digital means.
The next potential catalyst for Meta in this regard is the establishment of virtual reality (VR) and augmented reality (AR) technologies. The user interface for the internet at present necessitates a different kind of interactivity, but VR metaverses have the potential to disrupt the way that people interact online in some new and exciting ways.
The introduction of more realism and more closeness could serve a social media company well. Instead of interacting through a screen, people can interact face-to-face in a 3D virtual realm. Meta has already taken an interest in metaverse technologies, and this may be the next bullish catalyst that takes Meta’s stock price to new heights.
More than 20 million Meta’s Oculus Quest 2 have been sold so far, making it the best-selling VR headset in the world.
Growth in user activity
The acquisition of both Instagram and WhatsApp means that Meta’s three primary platforms serve a total of 7.7 billion users between them. While it’s certainly true that there is overlap between the people who have a Facebook account, an Instagram account, and a WhatsApp account, there is still plenty of potential for growth despite the already massive global presence. In fact, in 2023, Meta launched Threads, a direct competitor to X (formerly Twitter), which currently has over 200 million monthly active users – not bad for a platform that’s barely over one year old.
As more people in developing countries gain easier access to the internet, investors can expect more people to join social networks such as those under the Meta umbrella. Additionally, demographics will change as time goes on — older generations may have been more resistant to social media during its early days, but by the year 2050, most people on Earth will have been born after Facebook was founded in 2004.
Both of the above factors could result in more user activity for Meta across its existing platforms, assuming that the company continues to exist and social media continues to be a popular pastime. With that in mind, growth in user activity could provide a solid catalyst for stock price growth in the coming decades.
Algorithmic price prediction for META in 2024-2025
The META price prediction algorithm expects the stock to retrace from its current ATHs and find support in the sub-$300 range. In total, the price model expects a 51% price decrease to $273 in the next 12 months, but this period does include a bounce back to resistance around $500.
The bottom line: META has real potential for continued growth
Predicting the price of stock over multiple decades is no easy feat. Financial markets are constantly changing, and there may be unforeseen circumstances that will stop Meta’s growth completely. However, current trends are suggesting that META has a real chance to sustain its past performances with continued price appreciation.
If you’d like to find out more about the future performance of other stocks, then check our list of the best dividend stocks.
For more long-term forecasts, check our prediction for 2040 and 2050 for other popular stocks, including Microsoft, Tesla, and Amazon.
