Meta Introduces Ads to WhatsApp, Potentially Generating Billions in Revenue

Meta Stock Rises as Company Unveils Plans to Introduce WhatsApp Ads -- Watch These Key Levels

Investors should monitor important overhead areas on Meta's chart around $741 and $865, while also watching key support levels near $635 and $603. Meta Platforms (META) shares rose Monday as the tech giant announced plans to introduce paid advertising to WhatsApp, a move that expands the company's revenue-generating opportunities. The company, which expects to launch several advertising features globally over the next few months, said that it's introducing channel subscriptions, promoted channels, and ads to its WhatsApp Updates tab, which it says attracts about 1.5 billion users daily. Meta shares, which rose nearly 3% to close around $702 on Monday, have gained 20% since the start of the year and are just 5% below their record high, set in mid-February, as of Monday's close. The stock, which is the top performing member of the Magnificent Seven so far in 2025, has impressed investors with strong AI-driven ad revenue growth and plans to significantly expand its AI capacity. Last week, startup Scale AI said the social media giant had made a "significant new investment" in the company, with the development following reports that Meta CEO Mark Zuckerberg has been frustrated with the company's level of AI progress. Below, we take a closer look at Meta's chart and apply technical analysis to identify important price levels that investors will likely be watching. After reclaiming the 50- and 200-day moving averages, Meta shares consolidated within a pennant before decisively breaking out from the pattern earlier this month. Moreover, the relative strength index confirms bullish price momentum and sits below the indicator's overbought threshold to provide room for further upside. However, it's worth noting that stock's rally from its April low has occurred on declining trading volume, suggesting that larger market participant, such as institutional investors, remain on the sidelines. Let's identify two important overhead areas on Meta's chart to monitor if the shares continue climbing and also locate key support levels worth watching during potential pullbacks in the stock. Further upside momentum could see the shares initially climb toward $741. This area on the chart would likely attract significant attention near the stock's all-time high (ATH). Investors can forecast a price target to monitor above the ATH by using the bars pattern tool. When applying the analysis to Meta's chart, we extract the price bars comprising the stock's move higher preceding the pennant and overlay them from the pattern's breakout point. This projects a target of around $865 if a continuation move plays out, implying 23% upside from Monday's closing price. The first key support level to watch sits around $635, just below the pennant pattern's breakout area. The shares may attract buying interest in this location near a series of peaks that formed on the chart between December and March. Finally, a close below this key level could see Meta shares revisit lower support near $603. Investors may seek entry points in this region near the moving averages and a horizontal line that connects a range of corresponding trading activity on the chart stretching back to last October. The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info.

Meta Stock Is Moving Higher Monday: What's Going On? - Meta Platforms (NASDAQ:META)

Meta Platforms Inc META shares are trading higher Monday after the company announced that WhatsApp will show ads and offer paid subscriptions for the first time. What Happened: Meta is set to begin displaying ads inside of its cross-platform messaging application WhatsApp, opening the company up to additional revenue. The Facebook parent company, which has seen ads success on other platforms, will introduce ads in the "Updates" section of WhatsApp, which gets 1.5 billion visitors each day. "We've been talking for years about how to build a business on WhatsApp in a way that doesn't interrupt personal chats, and we believe the Updates tab is the right place to introduce that," Meta said on Monday. Advertisers will be able to pay fees to promote ads on their WhatApp Channels, which will make ads stand out in the Updates tab of the platform. Advertisers will also be able to sell subscriptions. Meta plans to eventually take a 10% cut of subscription sales, according to Bloomberg. The report indicates that the new ads initiative is aimed at expanding revenue streams in order to help fund the company's AI investments, an area Meta continues to spend heavily in, including with its recent stake in Scale AI. Ads on WhatsApp will not be nearly as targeted as Facebook and Instagram ads, which often use personal information and browsing history to deliver relevant ads. WhatApp ads are expected to be more broad and focus on a user's location and Channels they follow on the app. Ads are expected to start appearing on the WhatsApp platform on Monday for some users. The company said it will be rolling out ads slowly over the next several months. Meta said at the end of April that it generated $41.39 billion in total advertising revenue during the first quarter, up from $35.65 billion in the first quarter of 2024. Ad impressions across its family of apps increased by 5% year-over-year and average price per ad jumped 10%. META Price Action: Meta shares were up 2.51% at $700.03 at the time of publication Monday, according to Benzinga Pro. Read Next: Broadcom, Marvell Ride The $30B ASIC Wave - But Only One Looks Ready For Takeoff Accenture To Rally More Than 13%? Here Are 10 Top Analyst Forecasts For Monday Photo: Worawee Meepian/Shutterstock. METAMeta Platforms Inc$700.612.60%Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full ScoreEdge RankingsMomentum84.69Growth92.70Quality86.71Value28.58Price TrendShortMediumLongOverviewMarket News and Data brought to you by Benzinga APIs

Mark Zuckerberg's Meta Could Rake In Over $10 Billion In Annual Ad Revenue From WhatsApp By 2028, Says Analyst - Meta Platforms (NASDAQ:META)

Meta Platforms Inc. META could potentially generate over $10 billion in annual ad revenue from its WhatsApp messaging service by 2028, according to an analyst. What Happened: Evercore ISI analyst Mark Mahaney estimated that if Meta could secure an average advertising revenue of $6 per daily user and boost daily usage of the Updates tab to 1.7 billion users by 2028. The new WhatsApp features could thus generate approximately $10.2 billion in annual advertising revenue by 2028, reported MarketWatch. Mahaney also suggested that Mark Zuckerberg's Meta could add around $5 billion in operating income. He stated, "Meta has a proven track record of building new surfaces, monetizing them successfully, and ramping up profitability accordingly. Our strong guess is that WhatsApp Updates will add to its track record." Meta recently introduced new business tools for WhatsApp, including channel subscriptions, promoted channels, and ads in the status carousel. These updates aim to help businesses gain paying subscribers, boost channel visibility, and reach new potential customers through status-based advertising. SEE ALSO: Eric Trump Says He Doesn't Have 'Public Involvement' In Justin Sun's MSTR-Type Public Venture, But Admits He's A 'Fan' Of Tron And Its Founder Why It Matters: Meta's decision to introduce ads in WhatsApp is a significant move that could potentially boost the company's revenue. This comes after Meta's request to dismiss the FTC antitrust case in May, where the company argued that its acquisitions of Instagram and WhatsApp did not create an illegal social media monopoly. While WhatsApp has been slow to generate revenue for Meta, it continues to grow steadily. In contrast, Instagram -- more similar to Facebook -- has been a stronger revenue driver, whereas WhatsApp remains primarily a messaging platform. Earlier in March, analysts at Wolfe Research suggested that Meta could generate $30-40 billion in revenue from its business messaging services, a prospect that was undervalued by the market. The recent move to introduce ads in WhatsApp could further strengthen Meta's position in the market and potentially lead to a significant increase in revenue. On the stock market, Meta's shares have been performing well. The company's stock price rose after the announcement of the WhatsApp ads, indicating investor confidence in the potential revenue boost from this move. According to Benzinga Edge Stock Rankings, Meta has a growth score of 92.70% and a momentum rating of 84.69%. Click here to see how it compares to other leading tech companies. On a year-to-date basis, the shares of Meta surged 17.17%. READ MORE: Trump Asks 'Everyone' To Immediately Evacuate Tehran, Odds Of US Striking Iran Spike On Crypto Betting Platform - Benzinga Image via Shutterstock Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. METAMeta Platforms Inc$700.19-0.27%Stock Score Locked: Edge Members Only Benzinga Rankings give you vital metrics on any stock - anytime. Unlock RankingsEdge RankingsMomentum85.39Growth92.68Quality89.97Value26.81Price TrendShortMediumLongOverviewMarket News and Data brought to you by Benzinga APIs