Meta Platforms, Inc. (Nasdaq: META) reported strong financial results for Q3 2025, with revenue reaching $51.24 billion, a 26% increase from $40.59 billion in Q3 2024. However, total costs and expenses rose 32% to $30.71 billion, leading to an operating income of $20.54 billion, up 18% year-over-year. The effective tax rate surged to 87% due to a one-time tax charge of $15.93 billion, resulting in a significant drop in net income to $2.71 billion, an 83% decline from $15.69 billion a year prior. Diluted EPS also fell to $1.05 from $6.03. Despite these challenges, Meta’s operational metrics remained robust, with Family Daily Active People averaging 3.54 billion, and ad impressions increasing by 14%. The outlook for Q4 is optimistic, with projected revenue between $56 billion and $59 billion, though expenses are expected to grow by 22-24% for the full year.

Recent rating changes from various financial analysts reveal a notable trend of downward adjustments in price targets for several stocks, despite maintaining positive ratings. On October 30, 2025, analysts from Stifel, Piper Sandler, Monness Crespi & Hardt, and Mizuho all reiterated their buy or overweight ratings, yet each reduced their price targets significantly. For instance, Stifel lowered its target from $900 to $875, while Mizuho made a more pronounced cut from $925 to $815.

This pattern suggests a cautious outlook among analysts, potentially reflecting broader market concerns or sector-specific challenges. The consistent reiteration of positive ratings indicates that analysts still believe in the long-term potential of these stocks, but the reduced price targets may signal an acknowledgment of short-term volatility or weakening fundamentals. Investors should consider these adjustments as they reflect both confidence in the companies and a need for realistic expectations in the current market environment.