Meta’s Hidden Asset: WhatsApp Emerges as a Multi-Billion Dollar Growth Engine

While Facebook and Instagram continue to be the dominant revenue generators for Meta Platforms, a new analysis suggests the company's most significant future growth driver has been quietly waiting in the wings. A fresh research update is casting a spotlight on WhatsApp, forecasting future revenues that could propel the tech giant to new heights. The central question for investors is whether Meta can successfully ignite this next monetization phase while managing substantial AI-related expenditures.

The source of Tuesday's optimistic sentiment stems largely from an analysis by Evercore ISI. Market strategist Mark Mahaney reaffirmed his "Outperform" rating on the stock, accompanied by a price target of $875, implying substantial upside potential. The core of his argument is both straightforward and significant: Meta is sitting on a largely untapped goldmine with its WhatsApp messaging service.

The projections are considerable. By 2030, the analyst forecasts the messaging platform could generate approximately $40 billion in revenue, contributing nearly $20 billion to operating income. This potential shift is redirecting investor focus away from Meta's core advertising business on Facebook and toward the broader monetization of its entire app ecosystem.

Operational Efficiency Gains in Focus

Evidence that Meta is delivering on operational execution, not just future promises, comes from new figures reported by its European headquarters in Ireland. The company's "year of efficiency" strategy is being rigorously maintained. Reports indicate that the Irish subsidiary reduced its workforce by roughly 20% during 2024.

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The results of this stringent cost management are striking. Despite the reduction in staff, the unit's revenue increased by €15.5 billion to €85.3 billion. This performance reinforces investor confidence in management's ability to control costs without stifling the company's growth trajectory.

Sustained Bullish Sentiment Amidst Near-Term Volatility

Despite a minor pullback in the share price to €555.80, representing a decline of 0.20% on the day, the long-term outlook remains positive. The compelling combination of disciplined cost management and emerging revenue streams from business messaging continues to convince experts. The average analyst price target remains firmly above the current trading level, residing in a range between $820 and $839.

From a technical perspective, the stock is attempting to find stability. If Meta can sustain its efficiency drive while keeping its ambitious AI spending in check, today's analyst optimism could signal the beginning of the next sustained upward trend for the equity.