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Lllama Launch Drives Shares Higher
Shares in Meta are trading higher ahead of the US open today as investors respond to the launch of the group’s ChatGPT and Bard rival, Llama. An AI competitor has been touted for a while. However, the new program was officially launched today, and comes on the back of the massive early success of Meta’s Twitter rival Threads, which soared to over 100 million users in just a fortnight. The program, which has been launched in partnership with Microsoft, is open-sourced allowing for both free commercial and personal use.
Q2 Earnings Due Next Week
The announcement comes just a week ahead of Meta’s Q2 earnings results announcement. Wall Street forecasts are currently built around an EPS of $2.905 on revenues of $31.06 billion. If seen, both sets of figures would mark an increase on the prior quarter, consolidating bullish momentum in the stock. Given that Meta stock is currently up more than 160% on the year, there have been plenty of calls recently for a correction. However, with the success of the Threads launch, the stock remains an investor favourite and looks geared towards further upside near-term, particularly while USD remains under pressure.
Technical Views
Meta
The rally in Meta has seen the stock breaking out above the bull channel highs and above the 298.96 level. With momentum studies bullish, while above here, the focus is on a continuation higher with 352.30 the next target for bulls.
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With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.