Truist has raised its price target for Meta Platforms (META) to $720 from $700 following the company's stronger-than-expected first-quarter results and positive Q2 guidance. The bank maintains a Buy rating, citing the effectiveness of Meta's advertising boosted by AI technology, which has improved conversion rates and pricing. Additionally, Meta's AI system, Llama 4, is enhancing its e-commerce capabilities, making it a vital platform for advertisers.

Investment bank Stifel also increased its price target for Meta to $655 from $628, emphasizing the potential for monetizing AI technology in the long term. Despite recent fluctuations in Meta's stock price, with an 8% gain over the last month but a 16% drop over the past three months, analysts remain optimistic about the company's growth trajectory, particularly in the AI sector.