Here’s why Meta stock is soaring

The stock of the technology giant Meta (NASDAQ: META) soared in the extended session between January 28 and January 29. Specifically, the equity rallied 8.06% from its Wednesday closing price of $668.73 to $722.60 in the early morning of Thursday.

The key driver of the impressive rally has been an even more impressive earnings report for the fourth quarter (Q4) of 2025. Meta beat both the earnings per share (EPS) – which came in at $8.88 instead of the forecasted $8.23 – and revenue – managing $59.89 billion instead of the predicted $58.59 billion – estimates.

Another particularly impressive figure came in the form of daily active people (DAP). Indeed, Meta revealed that its December DAP came in at 3.58 billion. For context, the total world population in 2025 stood at about 8.23 billion.

The high number is also important for investors as it came at a time when competition from other social media platforms – including long-standing giants such as X and relative newcomers like UpScrolled – has been growing.

It is also noteworthy as it showcases that, at least for the time being, the general public remains relatively unfazed by privacy and security concerns recently highlighted by Telegram’s Pavel Durov and Elon Musk.

Elsewhere, Meta investors can also look forward to a new artificial intelligence (AI) model, Avocado, expected to be released in the first half of 2026.

The new AI model should be a successor to the previous Llama model, which, despite impressive usage numbers stemming from its integration with Meta’s many platforms, generally saw only tepid reactions.

Should Avocado prove a success and the technology giant’s results over the four quarters of 2026 remain as strong as in Q4, 2025, it would simultaneously highlight the merit in Mark Zuckerberg’s previous conclusion that the risks of not investing in the AI boom far outweigh the dangers of fueling a possible AI bubble.

Success could also help the social media giant escape the ridicule it received over its largely failed foray into the Metaverse.

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