Welcome to the Meta Platforms (NASDAQ:META) weekly analysis for Week 51, December 2025! As we approach the end of the year, META remains a focal point for both traders and long-term investors, especially in light of its recent strategic pivots and technical developments. This week’s review provides a thorough breakdown of the latest chart action, news catalysts, technical and fundamental outlooks, and actionable scenarios for the week ahead. 📊

Latest News & Catalysts (Past 7 Days)

• Reality Labs Budget Cuts & AI Focus: Meta announced up to 30% cuts in its Reality Labs (metaverse) budget, shifting resources toward AI initiatives, including wearables and smart glasses. This strategic move was well-received by the market, with shares rising 4% after the announcement. [24/7 Wall St]

• AI Hardware Expansion: Meta is negotiating with Alphabet (Google) to purchase TPUs, aiming to diversify its AI hardware supply and reduce reliance on Nvidia. The company also acquired Limitless, an AI wearable firm, signaling a deepening commitment to AI-driven products. [Copygram]

• Quarterly Dividend Declared: Meta declared a quarterly cash dividend of $0.525 per share, reinforcing its financial strength and shareholder focus. [Meta IR]

Technical Analysis

Chart Insights

• The price remains below both the 9 and 10 EMA, confirming a short-term downtrend.

• RSI below 50 (currently 48.1) supports a bearish bias, but not yet oversold.

• Volume spikes on down days suggest sellers are in control.

• Potential head and shoulders pattern hints at further downside risk if neckline support breaks.

Fundamental & News Impact

Meta’s recent strategic pivot away from heavy metaverse spending toward AI and hardware innovation has been positively received by both analysts and the market. The company’s Q3 2025 revenue grew 26.2% YoY to $51.24B, with advertising and AI as key drivers. While a $15.93B non-cash tax charge impacted EPS, the underlying business remains robust. Analyst sentiment is generally bullish on the AI transition, with targets as high as $1,000/share in 2026 if execution remains disciplined. However, risks remain if spending is not kept in check or if AI initiatives fail to deliver expected returns. The quarterly dividend underscores Meta’s financial health and commitment to shareholders.

Actionable Scenarios for Week 51 (December 15–21, 2025)

Risk Management

• Risk 0.5–1% of capital per trade.

• Use ATR (Average True Range) for dynamic stop-loss placement.

• Monitor news flow for further AI or regulatory developments.

Summary Table

Conclusion

For Week 51 of December 2025, Meta Platforms presents a technically bearish setup, but with strong underlying fundamentals driven by its AI pivot and cost discipline. Traders should watch for a breakdown below 644.00 for short opportunities, while a sustained move above 670.00 would be needed to shift the bias to bullish. Neutral traders may prefer to wait for clearer signals. As always, risk management and staying alert to news are essential. 🚦

Disclaimer: This analysis is for informational purposes only and does not constitute investment advice. Please consult a financial advisor before making trading decisions.