Price to Operating Profit (P/OP)
since 2012
Calculation
Meta Platforms Inc., P/OP, long-term trends, calculation
| P/OP | = | Share price1, 2, 3 | ÷ | Operating profit per share1 | Operating profit per share1 | = | Income from operations1 (in millions) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Jan 29, 2026 | 22.43 | = | 738.31 | ÷ | 32.92 | 32.92 | = | 83,276 | ÷ | 2,529,555,464 | |
| Jan 30, 2025 | 25.09 | = | 687.00 | ÷ | 27.38 | 27.38 | = | 69,380 | ÷ | 2,533,659,265 | |
| Feb 2, 2024 | 25.90 | = | 474.99 | ÷ | 18.34 | 18.34 | = | 46,751 | ÷ | 2,549,405,106 | |
| Feb 2, 2023 | 16.91 | = | 188.77 | ÷ | 11.16 | 11.16 | = | 28,944 | ÷ | 2,592,639,548 | |
| Feb 3, 2022 | 13.84 | = | 237.76 | ÷ | 17.18 | 17.18 | = | 46,753 | ÷ | 2,721,941,960 | |
| Jan 28, 2021 | 23.10 | = | 265.00 | ÷ | 11.47 | 11.47 | = | 32,671 | ÷ | 2,847,669,951 | |
| Jan 30, 2020 | 24.90 | = | 209.53 | ÷ | 8.41 | 8.41 | = | 23,986 | ÷ | 2,850,450,659 | |
| Jan 31, 2019 | 19.10 | = | 166.69 | ÷ | 8.73 | 8.73 | = | 24,913 | ÷ | 2,853,989,800 | |
| Feb 1, 2018 | 27.76 | = | 193.09 | ÷ | 6.95 | 6.95 | = | 20,203 | ÷ | 2,905,000,758 | |
| Feb 3, 2017 | 30.46 | = | 130.98 | ÷ | 4.30 | 4.30 | = | 12,427 | ÷ | 2,889,981,334 | |
| Jan 28, 2016 | 49.89 | = | 109.11 | ÷ | 2.19 | 2.19 | = | 6,225 | ÷ | 2,846,280,476 | |
| Jan 29, 2015 | 43.72 | = | 78.00 | ÷ | 1.78 | 1.78 | = | 4,994 | ÷ | 2,799,011,814 | |
| Jan 31, 2014 | 56.90 | = | 62.57 | ÷ | 1.10 | 1.10 | = | 2,804 | ÷ | 2,549,742,787 | |
| Feb 1, 2013 | 131.64 | = | 29.73 | ÷ | 0.23 | 0.23 | = | 538 | ÷ | 2,382,134,094 |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
1 US$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of Meta Platforms Inc. Annual Report.
The Price to Operating Profit (P/OP) ratio, calculated from the provided financial information, exhibits considerable fluctuation over the observed period. Initially, the ratio demonstrates a significant decline followed by a period of relative stability, and then a renewed increase in recent years. A detailed examination reveals distinct phases in the ratio’s behavior.
- Initial Decline (2013-2016)
- From 2013 to 2016, the P/OP ratio experienced a substantial decrease, moving from 131.64 to 49.89. This decline suggests that the market valuation, relative to operating profitability, decreased considerably during this timeframe. The share price increased during this period, but operating profit per share increased at a faster rate, driving the ratio down.
- Period of Stabilization (2017-2019)
- Between 2017 and 2019, the P/OP ratio stabilized, fluctuating within a narrow range of approximately 19.10 to 30.46. This indicates a period where market valuation and operating profitability grew in a more balanced manner. Operating profit per share continued to increase, but the share price also saw substantial growth, maintaining a relatively consistent ratio.
- Recent Volatility (2020-2026)
- From 2020 onwards, the P/OP ratio demonstrates increased volatility. It initially rose to 24.90 in 2020, then decreased to a low of 13.84 in 2022, before increasing significantly to 25.90 in 2024 and 22.43 in 2026. This suggests a period of heightened market sensitivity to changes in operating profitability. The substantial increase in the share price in 2023 and 2024, coupled with moderate increases in operating profit per share, contributed to the ratio’s recent rise.
Overall, the P/OP ratio has shown a complex pattern over the period examined. The initial decline suggests a period of adjustment, followed by stabilization, and then a more recent period of volatility potentially reflecting changing market expectations and investor sentiment. The ratio’s recent increase warrants further investigation to determine the sustainability of the higher valuation relative to operating profit.
Comparison to Competitors
Meta Platforms Inc., P/OP, long-term trends, comparison to competitors
| Meta Platforms Inc. | Alphabet Inc. | Comcast Corp. | Netflix Inc. | Trade Desk Inc. | |
|---|---|---|---|---|---|
| Jan 29, 2026 | 22.43 | — | — | 27.28 | — |
| Jan 30, 2025 | 25.09 | 20.97 | 5.46 | 39.91 | 83.69 |
| Feb 2, 2024 | 25.90 | 20.92 | 7.93 | 35.50 | 184.64 |
| Feb 2, 2023 | 16.91 | 18.01 | 12.00 | 28.85 | 286.30 |
| Feb 3, 2022 | 13.84 | 24.86 | 10.89 | 27.71 | 314.28 |
| Jan 28, 2021 | 23.10 | 33.85 | 13.47 | 52.02 | 296.81 |
| Jan 30, 2020 | 24.90 | 29.05 | 9.51 | 57.83 | 116.70 |
| Jan 31, 2019 | 19.10 | 30.27 | 8.71 | 89.46 | 81.19 |
| Feb 1, 2018 | 27.76 | 28.74 | 10.98 | 147.26 | 33.97 |
| Feb 3, 2017 | 30.46 | 23.36 | 10.61 | 161.49 | 22.75 |
| Jan 28, 2016 | 49.89 | 24.29 | 9.07 | 132.14 | — |
| Jan 29, 2015 | 43.72 | 21.78 | 10.12 | 66.68 | — |
| Jan 31, 2014 | 56.90 | 28.56 | 10.62 | 105.97 | — |
| Feb 1, 2013 | 131.64 | 19.47 | 8.69 | 184.25 | — |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).