Why Meta Platforms Stock Soared on AI News Today

Many investors were jumping aboard Meta Platforms (NASDAQ: META) stock on Monday, so much so that the pricey social media company's shares rose by almost 4%. Much of this was a reaction to a media report stating that Meta would lean heavily on artificial intelligence (AI) to boost its revenue. The stock's rise easily trumped that of the S&P 500 index, which increased 0.4% on the day.

Serious AI advancement planned?

Well before market open, The Wall Street Journal published an article asserting that Meta plans to offer its advertisers the chance to craft spots entirely with artificial intelligence (AI). Those users would be able not only to create every aspect of those ads but also to microtarget consumers by harnessing the technology.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »

Image source: Getty Images.

This would be a significant expansion of Meta's AI tool set, currently available to users but only for a limited set of ad enhancements.

Citing unidentified "people familiar with the matter," the financial newspaper said the company aims to roll out the full suite of AI functionalities by the end of 2026.

Meta has not yet officially commented on the report.

Keeping that competitive edge sharp

Advertising is front and center of Meta's business as it forms nearly the entirety of its revenue.

Assuming the Journal's report is accurate, the company's determined AI push is very encouraging. It shows that management clearly isn't resting on its laurels and is committing notable resources and effort into maintaining its already considerable ad dominance in the social media sphere. I would be very inspired by this news if I were a Meta shareholder.

Should you invest $1,000 in Meta Platforms right now?

Before you buy stock in Meta Platforms, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Meta Platforms wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $651,049!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $828,224!*

Now, it’s worth noting Stock Advisor’s total average return is 979% — a market-crushing outperformance compared to 171% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of June 2, 2025

Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Meta Platforms. The Motley Fool has a disclosure policy.