NEW YORK, Jan 26, 2026, 09:39 EST — Regular session
- Meta shares climbed in early New York trading following an upgrade from a broker.
- Investors are gearing up ahead of Meta’s upcoming quarterly results and its spending plans for 2026.
- A youth addiction trial involving Meta, TikTok, and YouTube ramps up headline risk.
Meta Platforms, Inc. shares climbed 1.4% to $667.92 in early Monday trading. Rothschild & Co Redburn’s James Cordwell upgraded the owner of Facebook and Instagram to Buy, boosting his 12-month price target from $740 to $900. Cordwell cited a valuation “disconnect” but warned of a possible drop into the mid-$500s if rising costs push down 2026 forecasts. 1
The upgrade arrives just ahead of Meta’s earnings report later this week, with traders looking for a 2026 roadmap that might move the stock. Attention centers on AI investments—particularly data centers and computing hardware—and how fast that spending can turn into revenue.
The broader market opened mixed. The Dow and S&P 500 edged up slightly, while the Nasdaq held steady near the flatline as investors prepared for a busy earnings schedule and a Federal Reserve decision later this week. 2
Investors are zeroing in on suppliers now. Barron’s noted that all eyes are on Microsoft and Meta’s earnings due Wednesday, hunting for clues about how aggressively these tech giants will ramp up AI investments — crucial for Nvidia’s chip sales. 3
The Fed’s two-day meeting is set for Jan. 27-28, with the rate decision due at 2:00 p.m. ET Wednesday and a press conference following at 2:30 p.m., per the central bank’s calendar. Changes to the rate outlook often ripple through megacaps fast, since their valuations depend heavily on long-term growth expectations. 4
Meta is also confronting new headline risk beyond its earnings reports. A California jury trial set to begin this week will examine allegations that social media platforms, including those from Meta, contributed to a teenager’s depression and suicidal ideation. CEO Mark Zuckerberg is slated to testify. “This is really a test case,” said Clay Calvert, a media attorney at the American Enterprise Institute. 5
The case doesn’t offer a straightforward preview of quarterly results. Still, it highlights ongoing concerns around teen safety features and product design. That focus can weigh on sentiment, especially when investors are jittery about risk.
Traders are zeroing in on guidance as the clearest catalyst. They’ll be looking for shifts in how the company talks about operating costs and capital spending, plus clues on whether the ad engine can keep running on Instagram and WhatsApp without driving users off.
Meta plans to unveil its fourth-quarter and full-year 2025 earnings after the market closes on Wednesday, Jan. 28, followed by a conference call at 4:30 p.m. ET. This report, coming after the Fed’s decision earlier that day, could prove pivotal for META shares. 6
