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Meta Platforms' (META) Focus on User Privacy Boosts Prospects
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Meta Platforms (META - Free Report) is leaving no stone unturned to strengthen user privacy. The social networking giant recently introduced a feature that will allow WhatsApp users to send a voice message that will disappear once it has been listened to. It has also launched end-to-end encryption on Messenger and Facebook.
Meta launched the View Once feature for photos and videos back in 2021, which it has now extended to voice messages. WhatsApp messages are protected by end-to-end encryption and the latest feature offers an additional layer of privacy.
The addition of end-to-end encryption to Messenger and Facebook will now provide an extra layer of security. The latest feature now allows additional functionalities, including the ability to edit messages, higher media quality and disappearing messages.
Users can now edit messages within 15 minutes of sending them. Disappearing messages on Messenger now last for 24 hours after being sent. Moreover, the new read receipt control allows a user to decide when to respond to senders’ messages.
Meta is now making it easier for users to access photos and videos. It has upgraded the image quality and added fun layouts. It now offers more controls to users regarding response time to an uploaded photo or video in a collection. The company is currently testing HD media and file-sharing improvements, which it plans to launch on a bigger scale in the near future.
Meta Leverages Generative AI to Boost User Experience
Meta has been leveraging generative artificial intelligence (AI) to boost user experience across its apps. AI stickers, AI-based editing tools, advanced conversational assistant - Meta AI and others to improve user engagement.
The company is relentlessly working to enhance these experiences. Meta AI’s capabilities are increasing as it will now offer more detailed responses on mobile and more accurate search results.
Meta is leveraging the large language model technology, which powers Meta AI, to give English-language users in various markets options for AI-generated post-comment suggestions and community chat topic suggestions in groups.
It recently added a feature called reimagine to Meta AI on Messenger and Instagram. This is an enhancement to the most popular text-to-image generation feature — imagine — across its messaging apps.
Meta has also started to roll out Reels in Meta AI chats. It is also exploring ways to make Facebook more attractive and fun-filled for users leveraging Meta AI.
Apart from Meta AI, the company is improving its other AIs based on users’ feedback. Meta is introducing search to more of its AIs. Bru and Perry AIs are using Microsoft’s (MSFT - Free Report) Bing to provide search results for sports-related queries.
Meta is now bringing this Microsoft Bing feature to other AIs, including Luiz, Coco, Lorena, Tamika, Izzy and Jade.
Expanding User Base to Drive Top-Line Growth
Meta is benefiting from steady user growth across all regions, particularly Asia Pacific. Increased engagement for its offerings like Instagram, WhatsApp, Messenger and Facebook has been a major growth driver.
Shares of Meta have gained 176.5% year to date compared with the Zacks Computer & Technology sector’s growth of 47.1%.
Reels have been a major growth driver for Instagram. Meta remains focused on growing Reels as part of its overall portfolio of video services, which make up more than half of time spent on Facebook and Instagram.
Meta expects total revenues between $36.5 billion and $40 billion for the fourth quarter of 2023. Favorable forex is expected to aid year-over-year top-line growth by roughly 2%.
The Zacks Consensus Estimate for fourth-quarter 2023 is pegged at $38.66 billion, indicating 20.2% year-over-year growth. The consensus mark for earnings is pegged at $4.77 per share, up a couple of cents over the past 30 days.
Image: Bigstock
Meta Platforms' (META) Focus on User Privacy Boosts Prospects
Meta Platforms (META - Free Report) is leaving no stone unturned to strengthen user privacy. The social networking giant recently introduced a feature that will allow WhatsApp users to send a voice message that will disappear once it has been listened to. It has also launched end-to-end encryption on Messenger and Facebook.
Meta launched the View Once feature for photos and videos back in 2021, which it has now extended to voice messages. WhatsApp messages are protected by end-to-end encryption and the latest feature offers an additional layer of privacy.
The addition of end-to-end encryption to Messenger and Facebook will now provide an extra layer of security. The latest feature now allows additional functionalities, including the ability to edit messages, higher media quality and disappearing messages.
Users can now edit messages within 15 minutes of sending them. Disappearing messages on Messenger now last for 24 hours after being sent. Moreover, the new read receipt control allows a user to decide when to respond to senders’ messages.
Meta Platforms, Inc. Price and Consensus
Meta Platforms, Inc. price-consensus-chart | Meta Platforms, Inc. Quote
Meta is now making it easier for users to access photos and videos. It has upgraded the image quality and added fun layouts. It now offers more controls to users regarding response time to an uploaded photo or video in a collection. The company is currently testing HD media and file-sharing improvements, which it plans to launch on a bigger scale in the near future.
Meta Leverages Generative AI to Boost User Experience
Meta has been leveraging generative artificial intelligence (AI) to boost user experience across its apps. AI stickers, AI-based editing tools, advanced conversational assistant - Meta AI and others to improve user engagement.
The company is relentlessly working to enhance these experiences. Meta AI’s capabilities are increasing as it will now offer more detailed responses on mobile and more accurate search results.
Meta is leveraging the large language model technology, which powers Meta AI, to give English-language users in various markets options for AI-generated post-comment suggestions and community chat topic suggestions in groups.
It recently added a feature called reimagine to Meta AI on Messenger and Instagram. This is an enhancement to the most popular text-to-image generation feature — imagine — across its messaging apps.
Meta has also started to roll out Reels in Meta AI chats. It is also exploring ways to make Facebook more attractive and fun-filled for users leveraging Meta AI.
Apart from Meta AI, the company is improving its other AIs based on users’ feedback. Meta is introducing search to more of its AIs. Bru and Perry AIs are using Microsoft’s (MSFT - Free Report) Bing to provide search results for sports-related queries.
Meta is now bringing this Microsoft Bing feature to other AIs, including Luiz, Coco, Lorena, Tamika, Izzy and Jade.
Expanding User Base to Drive Top-Line Growth
Meta is benefiting from steady user growth across all regions, particularly Asia Pacific. Increased engagement for its offerings like Instagram, WhatsApp, Messenger and Facebook has been a major growth driver.
Shares of Meta have gained 176.5% year to date compared with the Zacks Computer & Technology sector’s growth of 47.1%.
Reels have been a major growth driver for Instagram. Meta remains focused on growing Reels as part of its overall portfolio of video services, which make up more than half of time spent on Facebook and Instagram.
Meta expects total revenues between $36.5 billion and $40 billion for the fourth quarter of 2023. Favorable forex is expected to aid year-over-year top-line growth by roughly 2%.
The Zacks Consensus Estimate for fourth-quarter 2023 is pegged at $38.66 billion, indicating 20.2% year-over-year growth. The consensus mark for earnings is pegged at $4.77 per share, up a couple of cents over the past 30 days.
Zacks Rank & Other Stocks to Consider
Meta currently has a Zacks Rank #2 (Buy).
BlackLine (BL - Free Report) and Ceridian HCM are some other top-ranked stocks in the broader sector, each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
BlackLine shares have lost 9.2% year to date. The long-term earnings growth rate is pegged at 50.56%.
Ceridian shares have gained 4.7% year to date. The long-term earnings growth rate is pegged at 44.15%.