• 25/07/2024 14:14

Zuckerberg overtook Gates on the list of billionaires: Meta's capitalization increased by $200 billion in a day

The capitalization of the American company Meta soared on February 2 by more than $200 billion thanks to strong reporting and dividends announced for the first time. This is the largest daily increase in market value in the history of Wall Street, writes MarketWatch.

Zuckerberg overtook Gates on the list of billionaires: Meta's capitalization increased by $200 billion in a day

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Capitalization of companies

In February 2022, Amazon’s capitalization jumped by $191 billion during the session.

< p>Meta shares rose in price by 20% and finished trading at a record level of $474.99 per share.

Thanks to this, the fortune of Meta founder and head Mark Zuckerberg, who owns about 13% of the company's shares, has grown to $170 billion, and now he ranks fourth in the list of the richest people in the world, surpassing Bill Gates ($145 billion).

Since the beginning of the year, the price of Meta securities has increased by 34%, and Zuckerberg’s fortune has jumped by $42.4 billion in just over a month. In 2023, the company's market value increased two and a half times (by 154%), and since its IPO in 2012 – more than 12 times and now stands at $1.22 trillion.

As reported, Zuckerberg will receive about $700 million a year from dividends (before taxes). The quarterly dividend is set at 50 cents per share.

The strong quarterly performance, announced dividends and announced $50 billion share repurchase program have many analysts revising their estimates of Meta shares.

So, the analyst Raymond James Josh Beck raised his price target for Meta by $100, to $550 per share, with a “strong buy” recommendation. In his opinion, the company can increase revenue by $25-60 billion per year through the introduction of artificial intelligence technologies.

Ken Gavrelski from Wells Fargo estimates Meta shares “above the market” with a target price of $536 per share (previously – $438 per share), Mark Mahaney of Evercore ISI believes that the company's stock price could reach $550 versus the previous forecast of $425.

Bernstein analyst Mark Shmulik noted that Meta has a good long-term strategy and compared its shares with watches from the Patek Phillipe brand: “To paraphrase the famous Patek slogan, you don’t actually own Meta shares, you just hold them for future generations.”

minfin.com.ua

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