Bank of America Urges Investors to Hold Meta Amid California Youth Addiction Trial
· Business · CNBC, ABC News
Bank of America advised investors against selling Meta Platforms shares due to ongoing legal battles concerning allegations that the company fostered addictive behavior in children. The stock has faced pressure during a bellwether trial in an Oakland federal court involving 29 state attorneys general, adding to a 26 percent decline in shares throughout 2026. Analysts maintain a buy rating and an $810 price target on the stock, citing Meta's valuation at roughly 16 times estimated 2027 earnings and growing artificial intelligence capacity assets. While plaintiffs seek billions in damages and potential platform overhauls, BofA noted that the jury's verdict is advisory and the multi-jurisdictional litigation process will take years to resolve.
Why it matters
Meta's high-stakes antitrust and youth safety trials threaten to reshape social media regulations and investor sentiment across the tech sector.
Read the original report — CNBC
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