Performance Comparison: Meta Platforms And Competitors In Interactive Media & Services Industry
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In today's fast-paced and highly competitive business world, it is crucial for investors and industry followers to conduct comprehensive company evaluations. In this article, we will delve into an extensive industry comparison, evaluatingMeta PlatformsMETAin relation to its major competitors in the Interactive Media & Services industry. By closely examining key financial metrics, market standing, and growth prospects, our objective is to provide valuable insights and highlight company's performance in the industry.Meta Platforms BackgroundMeta is the largest social media company in the world, boasting close to 4 billion monthly active users worldwide. The firm's "Family of Apps," its core business, consists of Facebook, Instagram, Messenger, and WhatsApp. End users can leverage these applications for a variety of different purposes, from keeping in touch with friends to following celebrities and running digital businesses for free. Meta packages customer data, gleaned from its application ecosystem and sells ads to digital advertisers. While the firm has been investing heavily in its Reality Labs business, it remains a very small part of Meta's overall sales.CompanyP/EP/BP/SROEEBITDA (in billions)Gross Profit (in billions)Revenue GrowthMeta Platforms Inc28.179.7911.029.05%$22.52$34.7416.07%Alphabet Inc19.466.135.9410.3%$46.31$53.8712.04%Baidu Inc8.910.821.682.89%$9.8$14.962.98%Reddit Inc29.2512.1517.951.2%$0.01$0.3661.49%Pinterest Inc13.155.166.660.19%$-0.03$0.6615.54%Kanzhun Ltd32.603.907.763.34%$0.44$1.6112.88%Trump Media & Technology Group Corp17.345.981060.14-3.51%$-0.03$0.06.58%ZoomInfo Technologies Inc84.582.032.961.6%$0.07$0.26-1.42%CarGurus Inc91.088.293.938.27%$0.05$0.24.34%Weibo Corp7.080.701.483.09%$0.11$0.310.34%Yelp Inc16.983.041.673.31%$0.05$0.327.75%Tripadvisor Inc44.853.211.39-1.39%$0.01$0.370.76%Hello Group Inc8.260.911.083.21%$0.44$0.95-1.55%Ziff Davis Inc18.940.771.031.37%$0.09$0.284.5%Taboola.com Ltd91.751.170.71-0.85%$0.01$0.123.26%FuboTV Inc18.053.080.7363.17%$0.21$0.073.46%Average33.493.8274.346.41%$3.84$4.968.86%When closely examining Meta Platforms, the following trends emerge:The Price to Earnings ratio of28.17is0.84xlower than the industry average, indicating potential undervaluation for the stock.With a Price to Book ratio of9.79, which is2.56xthe industry average, Meta Platforms might be considered overvalued in terms of its book value, as it is trading at a higher multiple compared to its industry peers.With a relatively low Price to Sales ratio of11.02, which is0.15xthe industry average, the stock might be considered undervalued based on sales performance.With a Return on Equity (ROE) of9.05%that is2.64%above the industry average, it appears that the company exhibits efficient use of equity to generate profits.The company has higher Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) of$22.52 Billion, which is5.86xabove the industry average, indicating stronger profitability and robust cash flow generation.The gross profit of$34.74 Billionis7.0xabove that of its industry, highlighting stronger profitability and higher earnings from its core operations.The company's revenue growth of16.07%exceeds the industry average of8.86%, indicating strong sales performance and market outperformance.Debt To Equity RatioThe debt-to-equity (D/E) ratio is a measure that indicates the level of debt a company has taken on relative to the value of its assets net of liabilities.Considering the debt-to-equity ratio in industry comparisons allows for a concise evaluation of a company's financial health and risk profile, aiding in informed decision-making.By analyzing Meta Platforms in relation to its top 4 peers based on the Debt-to-Equity ratio, the following insights can be derived:Compared to its top 4 peers, Meta Platforms has a stronger financial position indicated by its lower debt-to-equity ratio of0.27.This suggests that the company relies less on debt financing and has a more favorable balance between debt and equity, which can be seen as a positive attribute by investors.Key TakeawaysFor Meta Platforms, the low PE ratio suggests potential undervaluation compared to peers in the Interactive Media & Services industry. The high PB ratio indicates a premium placed on the company's assets. A low PS ratio implies a favorable sales valuation. The high ROE, EBITDA, gross profit, and revenue growth highlight strong profitability and growth potential within the industry sector.This article was generated by Benzinga's automated content engine and reviewed by an editor.METAMeta Platforms Inc$733.951.84%Stock Score Locked: Edge Members OnlyBenzinga Rankings give you vital metrics on any stock β anytime.Unlock RankingsEdge RankingsMomentum82.84Growth92.02Quality86.36Value26.09Price TrendShortMediumLongOverviewMarket News and Data brought to you by Benzinga APIsΒ© 2025 Benzinga.com. . .Posted In:NewsMarketsTrading IdeasBZI-IA