Meta Platforms (NASDAQ: META) has extended its historic rally, closing higher for the 17th consecutive session and marking its longest winning streak ever. The stock has surged 18% during this run and is now up 22% year-to-date, closing at $719.80 on February 11.
The record-breaking rally, which began on January 16, 2025, took Meta ahead of its Magnificent Seven peers, making it the best-performing stock in the group this year. Over the past 12 months, Meta’s stock has climbed 53%, pushing its market capitalization past $1.8 trillion.
Meta’s 17-day winning streak also surpassed the previous record among Magnificent Seven stocks, outpacing Tesla’s (NASDAQ: TSLA) 13-day rally in June 2023 and Nvidia’s (NASDAQ: NVDA) 10-day streak in November 2023. According to Bloomberg, no other Nasdaq 100 company has seen such a prolonged run since 1990.
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Key drivers behind META’s record run
Meta’s rally gained further traction following the release of its Q4 2024 earnings, which exceeded Wall Street expectations for both revenue and profit.
For the quarter ended December 31, Meta reported earnings per share (EPS) of $8.02, beating analysts’ estimates of $6.75, while revenue reached $48.4 billion, exceeding expectations of $46.9 billion.
Ahead of the earnings report, in late January, CEO Mark Zuckerberg announced that Meta would increase capital expenditures to a range of $60 billion to $65 billion in 2025, significantly higher than the $39 billion spent in 2024.
While mega-cap tech giants have faced skepticism over their massive CapEx surge, leaving investors uneasy about their ability to convert AI spending into sustainable revenue growth, Meta has largely sidestepped these concerns.
For instance, shares of Alphabet (NASDAQ: GOOGL) tumbled after the company’s fourth-quarter earnings report revealed $75 billion in planned CapEx spending for 2025, adding to concerns over slowing cloud growth, as reported by Finbold.
AI investments fueling growth
Meta’s aggressive push into AI is further strengthening its market leadership. The company is reportedly in talks to acquire South Korean AI chip startup FuriosaAI, a move that could reduce reliance on external suppliers.
Meanwhile, Meta’s AI-powered ad business continues to gain traction. Morgan Stanley noted that the number of advertisers using Meta’s AI-driven creative tools has surged from 1 million to over 4 million in just six months.
Looking ahead, Barclays projects that Meta’s revenue will meaningfully outpace its peers again in 2025, driven by expanding AI capabilities.
The company’s AI ecosystem continues to strengthen, with over 700 million monthly active users (MAUs) engaging with META AI, while the highly anticipated launch of Llama 4 is expected to further solidify its competitive edge.
Featured image via Shutterstock
