Meta Platforms (META) After Hours on December 8, 2025: What Investors Need to Know Before the December 9 Open

Meta Platforms, Inc. (NASDAQ: META) closed Monday, December 8, 2025, just under the $670 mark after a strong multi-day rally, as investors weighed fresh news on metaverse budget cuts, an expanding AI hardware push, new European regulatory decisions, and an approaching ex‑dividend date. ^[1]

Below is a detailed, SEO-friendly wrap-up of where Meta stock stands after the bell and the key catalysts to watch before the U.S. stock market opens on Tuesday, December 9.

Key Takeaways for META Before Tuesday’s Open

Stock level: META finished Monday around $667 per share, down just under 1% on the day after trading as high as the mid‑$670s, but still up more than 4% over the last five sessions. ^[2]
Metaverse reset: Management is reportedly considering cutting the Reality Labs/metaverse budget by up to 30% in 2026, shifting capital toward AI, smart glasses and wearables – a move that previously sent the stock up roughly 3–7% late last week. ^[3]
EU regulation: On Monday, EU antitrust regulators approved Meta’s revised “less‑personalized ads” model, easing the threat of daily fines but keeping scrutiny high, while a separate EU antitrust probe into WhatsApp’s AI policy remains an overhang. ^[4]
AI & hardware push: Meta has acquired AI‑wearables startup Limitless, deepened news‑publisher licensing for Meta AI, and is about to start using AI chat interactions to personalize ads across its apps from December 16 (outside the EU, UK, and South Korea). ^[5]
Dividend catalyst: META’s $0.525 quarterly dividend goes ex‑dividend on December 15, implying an annualized dividend of $2.10 and a yield of roughly 0.3% at current prices. ^[6]
Analyst view: Wall Street still leans bullish: most major aggregators show a “Buy/Strong Buy” consensus, with average 12‑month price targets clustered around $820–$840, implying mid‑20% upside from Monday’s close, and high‑end targets above $1,100. ^[7]

How META Traded on December 8, 2025

After a big run fueled by news of deep metaverse spending cuts and a fresh dividend, META spent Monday consolidating:

Price action: According to historical data, Meta opened near $669, hit an intraday high around $676.7, and closed just above $667, down roughly 0.95% versus Friday’s $673.42 close. ^[8]
Valuation snapshot: Real‑time quotes show Meta around $667 in late trading on Monday, implying a market cap near $1.8 trillion and a trailing P/E in the low‑30s, making it one of the cheaper “Magnificent Seven” names on earnings multiples despite its huge run since 2023. ^[9]

The modest pullback comes after META surged earlier in December when reports surfaced that CEO Mark Zuckerberg may cut metaverse spending by as much as 30% and redirect cash to AI and smart glasses – a shift that many bulls see as a long‑awaited course correction. ^[10]

1. Metaverse Cuts: From “Moonshot Drag” to AI Fuel

Reality Labs has burned more than $70 billion

Multiple analyses estimate that Meta’s Reality Labs division – home to Quest headsets and Horizon Worlds – has racked up over $70 billion in cumulative operating losses since 2021, even as revenue in Q3 2025 was only about $470 million. ^[11]

That money pit has weighed heavily on investor sentiment. In 24/7 Wall St.’s breakdown of Meta’s Q3 numbers, Reality Labs posted a $4.43 billion operating loss in the quarter alone, despite the broader company delivering 26% year‑over‑year revenue growth to $51.2 billion and strong underlying EPS once a one‑off tax charge is excluded. ^[12]

Reported 30% budget cut – and Wall Street’s reaction

Bloomberg reported that Meta executives are discussing budget cuts as high as 30% for the metaverse group in 2026, a move that could also entail layoffs early next year. ^[13] Fox Business added that Meta has confirmed a shift in Reality Labs spending from broad metaverse bets toward AI‑powered glasses and wearables, citing strong momentum in that segment. ^[14]

CoinCentral and other outlets note analyst estimates that trimming Reality Labs spending by roughly 30% could add around $2 per share to 2026 EPS and free up $4–6 billion annually for higher‑return AI and core app projects. ^[15]

The market has generally welcomed the pivot:

NASDAQ/Motley Fool analysis highlights that META shares jumped about 3–4% on the initial metaverse‑cut headlines, even on a relatively flat day for the Nasdaq Composite. ^[16]
Spanish newspaper El País similarly reports that investors greeted news of up to 30% metaverse budget reductions and the strengthened dividend with a single‑day pop of roughly 7% earlier in the week. ^[17]

For Tuesday’s open, traders will be watching for any follow‑up commentary from Meta, leaks about the exact size or timing of cuts, or fresh analyst models quantifying how much incremental free cash flow this retrenchment could generate.

2. AI and Wearables: Limitless Acquisition and Meta AI Deals

Limitless: AI wearables for “personal superintelligence”

On December 5, Meta announced the acquisition of Limitless, an AI‑wearables startup formerly known as Rewind. ^[18]

Key details:

Limitless makes a pendant‑style device that clips to clothing and records, transcribes and summarizes real‑world conversations, paired with a companion app. ^[19]
The company will stop selling new devices, but Meta plans to fold the team and technology into Reality Labs, using Limitless to accelerate AI‑enabled devices like Ray‑Ban Meta smart glasses and future “personal superintelligence” hardware. ^[20]

Analysts see the deal as another sign that Meta wants to push AI off the phone screen and into always‑on, wearable interfaces, potentially creating a new computing platform if adoption takes off. ^[21]

Meta AI: News‑publisher deals and 1 billion users

Meta is also racing to make Meta AI, its chatbot and assistant, a central part of the user experience:

The company has signed news licensing deals with CNN, Fox News, USA Today, People and Le Monde, among others, allowing Meta AI to answer questions about current events with short summaries and links back to publisher sites. ^[22]
These deals mean that when users ask about breaking news inside Facebook, Instagram or WhatsApp, they increasingly get AI‑generated answers grounded in professional reporting rather than static training data. ^[23]

Reuters recently reported that Meta AI already has about 1 billion monthly active users, underscoring the scale at which any changes to personalization or monetization can impact the business. ^[24]

Heading into Tuesday, investors will be alert for additional publisher partnerships, integration announcements for Meta AI in smart glasses or other hardware, and any privacy‑focused pushback that could limit how aggressively Meta monetizes these tools.

3. Data, Ads, and Regulation: EU Decisions and AI Personalization

EU approves “less‑personalized ads” model, avoids daily fines

The biggest regulatory headline on Monday came from Brussels. EU antitrust regulators approved Meta’s revised “pay‑or‑consent” ad model, which uses less personal data for targeting and gives Facebook and Instagram users a clearer choice between fully personalized ads and a version of the service with more limited targeting. ^[25]

This decision:

Resolves an earlier €200 million DMA‑related fine (about $233 million) tied to Meta’s previous approach between November 2023 and November 2024. ^[26]
Removes the immediate threat of daily penalties of up to 5% of global turnover, although the European Commission will continue monitoring the new model and seek feedback on its impact. ^[27]

For shareholders, this is a mixed bag: it reins in a worst‑case scenario of escalating fines, but it could also cap how much data Meta can use for ads in a key market, potentially tempering EU revenue growth over time – a risk Meta itself has flagged in its earnings disclosures. ^[28]

Separate EU antitrust probe into WhatsApp’s AI rules

Regulatory overhang isn’t going away. On December 4, the EU opened a formal antitrust investigation into Meta’s new AI policy for WhatsApp, concerned that new rules could limit competing AI assistants’ access to WhatsApp’s business features and give Meta AI an unfair advantage. ^[29]

Key points from the probe:

The Commission is examining whether a new WhatsApp policy effective January 15, 2026 would block rival AI chatbots from reaching users, while META’s own assistant remains integrated. ^[30]
Regulators have signaled they could temporarily halt Meta’s WhatsApp AI rollout as an interim measure and may fine the company up to 10% of global annual turnover if competition rules are violated. ^[31]

Any headlines from Brussels between Monday night and Tuesday morning – especially about interim measures or a tougher stance – could weigh on META and the broader mega‑cap tech complex at the open.

AI chat interactions will soon power ads (outside the EU)

Separately, Meta is about to flip another important switch. Starting December 16, the company will begin using people’s interactions with its generative AI tools (Meta AI chats, prompts, voice queries) to personalize content and advertising across Facebook and Instagram, on top of existing signals like likes and follows. ^[32]

Important details from Reuters:

The change only applies to users who interact with Meta AI, and there is no opt‑out if you choose to use those tools. ^[33]
Sensitive conversations about topics like religion, sexual orientation, politics, health, or race will not be used for ad targeting, according to Meta. ^[34]
The rollout begins in most regions on December 16 but excludes the EU, UK and South Korea for now – again highlighting how Europe’s regulatory stance is shaping Meta’s product strategy. ^[35]

For Tuesday’s session, traders will be assessing whether investors frame this AI‑driven personalization as a powerful monetization tailwind or a privacy and regulatory flashpoint – or both.

4. Dividend and Capital Returns: A New Income Angle for META

Meta is still primarily a growth story, but its second year as a dividend payer is becoming part of the bull thesis.

Details of the upcoming dividend

On December 3, Meta’s board declared a quarterly cash dividend of $0.525 per share for both Class A and Class B shares: ^[36]

Payable date: December 23, 2025
Record / ex‑dividend date: Shareholders of record as of December 15 (ex‑dividend on December 15 for U.S. markets). ^[37]
Annualized dividend: $2.10 per share, implying a yield of ~0.3% at current prices and a payout ratio of roughly 7–9% of forecast earnings. ^[38]

CoinCentral notes that pre‑market trading on Monday was “broadly flat” around $672 as investors weighed dividend capture strategies against regulatory and AI headlines. ^[39]

While the yield is small, the dividend is symbolic: it underscores Meta’s confidence in its cash generation even as it spends tens of billions on AI data centers and shows that shareholder payouts can grow over time alongside AI‑driven earnings. ^[40]

For Tuesday, watch for:

Dividend‑capture flows as we move closer to the December 15 ex‑date.
Any analyst notes revisiting Meta’s total shareholder yield (dividends plus buybacks), which some services estimate at around 2–3% when repurchases are included. ^[41]

5. Earnings, Growth, and Analyst Forecasts

Q3 2025 scorecard

Meta’s Q3 2025 results – still driving much of today’s valuation debate – looked like this: ^[42]

Revenue: $51.24 billion, up 26% year‑over‑year, with ad impressions up 14% and average ad prices up 10%.
One‑time tax hit: The company recognized a $15.93 billion non‑cash tax charge linked to new U.S. tax rules, pushing the effective tax rate to 87%.
Underlying profitability: Excluding this charge, net income would have been $18.64 billion and diluted EPS $7.25, comfortably ahead of Wall Street’s ~$6.74 consensus.
Capex: Q3 capital expenditures were $19.37 billion, and full‑year 2025 capex is guided to $70–72 billion, mostly to fund AI infrastructure.
Guidance: Management expects Q4 2025 revenue of $56–59 billion, driven mostly by continued strength in the ads business.

Meta also flagged that 2026 capex and total expenses are likely to grow even faster than in 2025, as it builds AI data centers and hires more AI talent, which initially spooked the market and sent the stock down about 8% right after the Q3 report. ^[43]

Wall Street still sees upside

Despite capex concerns, most major analyst aggregators remain constructive:

24/7 Wall St. reports that among roughly 67 analysts, the median META price target is about $839, with a low around $685 and a high at $1,117, and an overall “buy” recommendation. ^[44]
StockAnalysis and TipRanks show average 12‑month targets in the low‑$800s, implying roughly 20–25% upside from Monday’s close, and recent updates include a $1,117 “Strong Buy” target from Rosenblatt and $900–$915 targets from UBS and BofA‑type bulls. ^[45]
Consensus forecasts call for revenue to rise from about $203 billion in 2025 to ~$240 billion in 2026 (roughly 18% growth) and EPS to grow from ~25.5 to ~30.7, or a bit over 20% year‑over‑year. ^[46]

At the same time, 24/7 Wall St. notes that some firms (like Oppenheimer and Benchmark) downgraded the stock on capex worries, even as others such as BofA and Cantor Fitzgerald reiterated bullish ratings with $900+ price targets, underscoring the tension between AI spending and near‑term margin pressure. ^[47]

6. Macro, Power and AI Infrastructure Context

Meta’s AI ambitions are so large that they are shaping energy and infrastructure markets:

A recent Barron’s report highlighted that utilities like NextEra Energy have signed major agreements to supply gigawatts of solar and battery‑backed power to Meta data centers across the U.S. Midwest, Texas and the Southwest, part of a broader clean‑energy build‑out driven by AI workloads. ^[48]

Add in an approaching Federal Reserve meeting later this week – with markets debating the pace of 2026 rate cuts – and META sits squarely at the intersection of AI optimism and macro‑sensitive high‑multiple tech valuations.

For Tuesday’s open, broader risk sentiment (Nasdaq futures, yields, and Fed‑watch headlines) will likely be as important as Meta‑specific news in determining whether META bounces from Monday’s small pullback or extends it.

What to Watch Before the Bell on December 9, 2025

Going into Tuesday’s U.S. session, here are the key questions traders and longer‑term investors are asking about Meta:

Does Brussels add pressure or ease off?
- Any overnight comments from EU officials about the WhatsApp AI antitrust probe or the new ads model could move the stock, especially if there is talk of interim measures or further concessions. ^[49]
Will management or analysts quantify the metaverse cuts?
- Investors want clearer numbers on the rumored 30% Reality Labs budget reduction and how much of that savings will flow to EPS, dividends, or AI infrastructure versus new hardware bets. ^[50]
How quickly can AI hardware and Limitless‑style devices scale?
- Watch for sell‑side notes on the Limitless acquisition, how it integrates with Ray‑Ban Meta smart glasses, and whether Meta can create an “iPhone moment” around wearable AI. ^[51]
How will the December 16 AI‑personalization change land with regulators and users?
- Any early backlash or clarifications from Meta around using AI chats for ad targeting could affect sentiment, especially with the EU already on high alert. ^[52]
Dividend capture and positioning into the December 15 ex‑date.
- Options activity, short‑term flows, and tactical notes around META’s 0.3% dividend yield may drive extra volatility over the next few sessions, even if the yield itself is modest. ^[53]
Macro backdrop into Fed week.
- As Ts2.tech and other commentators point out, Meta heads into Fed week as a high‑beta, high‑cash‑flow AI leader: any shift in expectations for 2026 rates or long‑term yields can be amplified in META’s price action. TechStock²+1

Bottom Line

As of after‑hours on December 8, 2025, Meta Platforms sits in a delicate but powerful position:

The core ads and AI engine is firing, with mid‑20% revenue growth and robust cash flow. ^[54]
A painful, multi‑year metaverse gamble is finally being scaled back, freeing billions that can support AI, dividends and buybacks. ^[55]
At the same time, regulatory pressure in Europe, exploding AI capex, and complex privacy trade‑offs around AI‑driven personalization keep the risk profile elevated. ^[56]

For traders watching Tuesday’s open, META is likely to remain a high‑conviction AI play with headline risk, where incremental news about EU regulation, AI hardware rollouts, and capex plans can matter as much as traditional valuation metrics.

For longer‑term investors, the key question is whether Meta can turn aggressive AI investment and hardware bets into durable earnings growth, while keeping regulators, users, and shareholders just satisfied enough to stay on board.