"While the prospect of lower interest rates and stock-split euphoria have played a role in lifting the tide on Wall Street, the rise of artificial intelligence (AI) has undeniably been the stock market's hottest trend. Providing software and systems with the tools to make near-instantaneous decisions without human oversight is an advancement that the analysts at PwC believe can add more than $15 trillion to global gross domestic product by 2030."
"Among the dozens of companies that are directly benefiting from the AI revolution, none is more of a genius buy in the new year than social media colossus Meta Platforms . The advantage of buying Meta Platforms' stock, compared to purchasing shares of the face of the AI movement, Nvidia, is that investors have a rock-solid foundation to fall back on if history were to repeat and the AI bubble bursts in 2026."
"Meta generates approximately 98% of its net sales from advertising on its family of apps. In September, an average of 3.54 billion people visited its websites daily, including Facebook, WhatsApp, Instagram, Threads, and Facebook Messenger. No other social media platform is particularly close to matching the number of eyeballs that Meta can offer advertisers, which means it often possesses exceptional ad-pricing power."
Equity markets rallied in 2025 with the S&P 500 up more than 16%, aided by expectations of lower interest rates and stock-split optimism. Artificial intelligence emerged as the dominant market theme, with PwC estimating AI could add more than $15 trillion to global GDP by 2030. Not all AI-related stocks will succeed. Meta Platforms is highlighted as a top 2026 buy because its ad-driven revenue base provides a stable foundation compared with pure-play AI leaders like Nvidia. Meta produces about 98% of revenue from advertising, reaches roughly 3.54 billion daily visitors across apps, and is deploying generative AI to tailor ads.
Read at The Motley Fool
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