HSBC upgrades Meta to Hold after 19% selloff from peak

HSBC analyst Nicolas Cote-Colisson upgraded Meta to Hold from Reduce with an unchanged price target of $300. The shares are under pressure after a "regulatory setback," despite upside risks on advertising and rising interest in metaverse, Cote-Colisson tells investors in a research note. The analyst says the Meta investment case "remains a fragile balance between risks of more regulation and new business opportunities" With the stock down 19% since the September 7 peak, Cote-Colisson upgrades the shares to Hold on valuation. He believes the share price now better reflects Meta's risks.