China Merchants Securities: Raised Meta's target price to $866, listed as the industry's top recommended stock.

CSC Securities released a report indicating that Meta's performance in the second quarter was a great success, with revenue reaching 47.5 billion US dollars, a year-on-year increase of 22%, exceeding expectations by 6%; operating profit reached 20.4 billion US dollars, exceeding expectations by 19%. The strong growth was mainly driven by advertising revenue from the Family of Apps, with daily active users increasing by 6% year-on-year to 3.48 billion, ad impressions increasing by 11% year-on-year, and the average ad price increasing by 9% year-on-year. Meta is the industry's first stock to be recommended by the bank, with its target price raised from 759 US dollars to 866 US dollars, accelerated growth confirming the sustained and robust growth of user and advertising revenue driven by AI, alleviating concerns about capital expenditures, and maintaining a "hold" rating.