AI layout becomes the focus of the financial report. Morgan Stanley raised the target price of Meta (META.US) to $750 before the performance.

On the eve of the financial report release, Morgan Stanley analyst Brian Nowak significantly raised the target price of Meta Platforms (META.US) from $650 to $750 on July 21, maintaining a "Buy" rating. This rating adjustment is based on the institution's overall valuation improvement of the internet industry, mainly considering the positive factors such as the improvement of the macroeconomic environment and the reduction of Chinese tariffs. The Wall Street investment bank simultaneously updated its valuation model to mid-2026. The analyst pointed out that Meta's core growth engine - GPU-based machine learning technology - continues to optimize, effectively improving user engagement and monetization capabilities, driving revenue growth. Morgan Stanley emphasized that Meta's performance in the second half of 2025 will depend on two key factors: first, the company needs to prove to the market its ability to achieve a target of at least $30 in earnings per share by 2026; second, the new generation Llama model needs to demonstrate breakthrough reasoning capabilities. With Meta scheduled to release its financial report on July 30th Eastern Time, market attention is focused on its progress in artificial intelligence strategy. The bank specifically noted that the commercialization of generative AI products is crucial, as this will directly affect the market's evaluation of the return on investment in its recent talent recruitment and capital expenditure.