Meta (META) Stock: BofA Sees $150B Revenue Opportunity in AI Infrastructure Play

Key Takeaways

• BofA maintains Buy rating on META stock with $835 price target
• Analysts project Meta could develop approximately 19 gigawatts of AI computing infrastructure by 2030
• Monetizing 50% of this capacity externally may yield $100B–$150B in additional revenue
• META shares trade at $612, representing 18x 2027 earnings — a discount to Google and Amazon multiples
• Multiple Wall Street firms including Citizens, Mizuho, and Jefferies maintain bullish outlooks with $825–$835 targets

Meta Platforms (META) currently trades around $612 per share, yet Bank of America believes investors may be overlooking a significant value opportunity in the company’s AI infrastructure buildout.

Meta Platforms, Inc., META

Bank of America analyst Justin Post has reinforced his Buy recommendation on META shares with an $835 price objective, highlighting an emerging revenue stream: commercializing Meta’s AI computing infrastructure to third-party clients.

The thesis is relatively simple. Meta is projected to allocate approximately $850 billion toward capital investments from 2026 through 2030. With AI capacity running about $45 billion per gigawatt, these expenditures could create roughly 19 gigawatts of total computing capability.

Should Meta choose to commercialize half of this infrastructure — pricing it at $10 billion to $15 billion per gigawatt — BofA’s analysis suggests this could translate into $100 billion to $150 billion in new revenue opportunities.

This represents a meaningful potential growth driver.

Post also noted developments with Meta’s proprietary MTIA chip and indicated that second-quarter revenue figures may provide clearer evidence that the Muse Spark model rollout is positively impacting advertising performance.

The firm anticipates a more sophisticated large language model release between late 2026 and early 2027, which could serve as an additional catalyst for valuation multiple expansion.

Potential Headwinds Exist

Not all analysts embrace the optimistic scenario without reservations. If Meta plans to commercialize excess computing resources, it prompts an important consideration: are the company’s internal AI initiatives requiring less infrastructure than originally anticipated?

Additionally, there are indications that Meta has been leasing computing resources from emerging cloud infrastructure providers while simultaneously exploring its own capacity sales — a situation that could potentially compress profit margins.

Establishing a profitable cloud services division presents significant challenges. Amazon and Google invested years before achieving profitability in their respective cloud segments. Without a distinctive cost advantage or technological differentiation, Meta’s cloud venture could initially operate with thinner margins.

Despite these mixed signals, BofA maintains its optimistic position.

Current Valuation Metrics

At present trading levels, META is valued at 18x projected 2027 earnings. This represents a compression from its 2025 peak multiple of 26x and trades below the multiples assigned to Google and Amazon at 24x. However, it remains substantially above the 2022 low of 11x.

The current price-to-earnings ratio stands at 22.45. The company delivered 26% revenue growth over the trailing twelve-month period.

Analyst consensus points to a Strong Buy recommendation — with 32 Buy ratings, five Hold ratings, and zero Sell ratings issued over the past three months. The average analyst price target reaches $818.23, suggesting approximately 40% upside from current price levels.

Firms including Citizens, Mizuho, and Jefferies have recently reaffirmed constructive ratings, with price objectives ranging from $825 to $835. Jefferies specifically referenced Amazon’s AWS model of monetizing surplus infrastructure capacity as a potential blueprint Meta could follow.

Options market activity surrounding META has also intensified, with notable increases in call option volume following reports about potential cloud service offerings.