Is Elon Musk Helping Mark Zuckerberg? Meta Platforms Inc. (NASDAQ: META) shares slumped about 7% on Tuesday amid reports of a regulatory setback in Europe.

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Headwinds Can’t Get Worse
The Feud of Facebook and Tesla
Meta’s Technology: The Future of Computer

Headwinds Can’t Get Worse

Undeterred by the sell-off, Empirical Financials’ Whitney Tilson threw his weight behind the company and the stock.
“I believe that Meta is one of the most innovative and exciting companies in the world today,” Tilson said in a note to investors. “Its technology has the potential to revolutionize how we interact with computers.”

Tilson pointed out that Meta’s technology is already being used by major corporations such as Microsoft, Google, and Facebook. He believes that there is a “huge market opportunity” for Meta’s products and services.
Despite the recent sell-off, Tilson remains bullish on Meta’s prospects.
He believes that the stock is still undervalued and has significant upside potential.

The Feud of Facebook and Tesla

Tilson said Meta’s headwinds aren’t likely to worsen, with some of them likely to turn into tailwinds. Meta’s AI investment might help ad targeting, which, in turn, could help Reels perform better than TikTok, he said.
The year-over-year comparisons for Meta could turn from dreadful over the year to at the very least stable. “My long experience is that when beaten-down stocks of exceptional businesses turn around, they don’t just pop 20% — rather, it’s usually 50% to 100% in a matter of months,” Tilson said.

We believe the company is positioned to weather them and come out stronger on the other side. Here’s a look at the eight headwinds Tilson mentioned in his newsletter and how they’re impacting Meta:

First, the loss of a major customer: This has been a big blow to Meta, but we believe they have the resources and talent to win new business and make up for this loss over time.
Second, increased competition: There are more companies than ever before competing for attention in the AR/VR space, but Meta has established itself as a leader with its strong product offerings. We believe they will continue to compete successfully against newcomers.
Finally, lower margins: Margins have been under pressure due to increased competition and lower prices for hardware components, but we believe Meta’s focus on delivering high-quality products will help them maintain their position in the market.

Meta’s Technology: The Future of Computer

We all know that Facebook CEO Mark Zuckerberg and Tesla CEO Elon Musk don’t exactly see eye to eye. But what if, instead of feuding, they joined forces? Imagine the possibilities!
With their combined brainpower, they could take over the world! Or at least dominate the tech industry. And with Meta’s recent financial success despite a difficult market landscape, there’s no doubt that investors would be lining up to get in on the action.

So, what would an alliance between these two titans look like? Well, for starters, we can expect some truly over-the-top holiday gifts exchanged between them. After all, when you are worth billions of dollars, normal presents just won’t cut it. So while other people are getting socks and ties from their loved ones this holiday season, Zuckerberg will probably be sending Musk a massive yacht as a thank-you for creating such chaos and drama at Twitter that regulators, media and investors are distracted from Meta’s own problems. Talk about friends in high places!
Of course, it remains to be seen whether or not such an alliance would actually benefit either company in the long run.
But one thing is for sure: it would make for some interesting headlines (and stock prices). So stay tuned – this story is far from over.

Is Elon Musk Helping Mark Zuckerberg?

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