Meta's Stock Rises for 20th Consecutive Day: Trump's Support and AI Investments Drive Growth

Meta's record-breaking performance: The impact of AI and political factors on stock price

Meta Platforms, the parent company of Facebook, has experienced a significant resurgence in its stock value, continuing an upward trend that has persisted for over a month. As of February 14th, 2025, Meta's stock closed at $736.67, marking a 1.11% increase from the previous day. This marks the 20th consecutive day of gains, setting a new record since the Nasdaq 100 Index was established in January 1985. Over the course of these 20 trading days, Meta’s stock price has climbed by an impressive 20.5%, with the average daily increase reaching 1%. The overall increase in stock price this year has been 25.8%, reflecting significant market confidence in the company’s performance.

Notably, Meta's stock price has continued to set new records, recently surpassing the $700 mark for the first time. This streak has pushed its market capitalization to a remarkable $1.87 trillion, with the company edging closer to the $2 trillion mark. The surge has caught the attention of investors, who are now keenly observing Meta’s next moves as it continues to lead the way in digital advertising and artificial intelligence.

Key Drivers of Meta’s Success: AI Investments and Political Factors
Meta’s continued stock price growth can largely be attributed to its strategic investments in artificial intelligence (AI). The company has heavily invested in AI-driven advertising targeting, which has led to increased user revenue. This approach has shown considerable promise in generating growth for Meta, allowing the company to remain competitive in the rapidly evolving digital advertising market.

One key factor that has contributed to Meta’s positive momentum is its shift away from dependence on Nvidia for AI chip production. While Nvidia has long dominated the AI chip market, Meta is now focused on securing its own AI chips. This move is seen as a crucial step in Meta’s strategy to reduce its reliance on third-party suppliers. The company is positioning itself to gain more control over its technological infrastructure and improve its operational efficiency.

In another significant development, Meta has been reported as the first customer for a new AI chip being developed by the UK-based semiconductor company Arm. Arm's new chip is expected to play a critical role in Meta’s ongoing AI expansion, and its adoption marks a key milestone in Meta's efforts to diversify its hardware strategy.

Political Factors Also Play a Role in Meta’s Success
Meta's stock surge is not solely due to its technological advancements. Some analysts suggest that the company's recent alignment with political figures supportive of U.S. President Donald Trump has had a positive effect on its stock performance. This alignment, whether through public statements or policy positions, appears to have resonated well with certain investor groups, contributing to the company’s rising market value.

As Meta continues to expand its AI capabilities and diversify its chip sourcing, it is also gaining more traction in the broader tech industry. Experts like Mandip Singh from Bloomberg Intelligence highlight the success Meta has experienced in applying AI across its platforms. Singh notes that Meta’s move to develop its own AI chips, following in the footsteps of tech giants like Alphabet, Amazon, and Microsoft, is not surprising given the company’s ambitions to remain at the forefront of the digital advertising and AI industries.

Meta's rise in stock value reflects its ability to adapt to changing technological landscapes while also tapping into broader political and economic trends. With AI playing a central role in its business strategy, the company is well-positioned to continue its upward trajectory in the coming months.

In sum, Meta’s ability to balance technological innovation with astute business strategies, along with its political positioning, has played a critical role in the company’s remarkable stock performance. Investors will be closely watching to see how these factors continue to shape Meta’s future growth.