Could Meta's Next Stock Split Unlock Greater Returns for Investors?

Meta Platforms (NASDAQ: META) has experienced remarkable momentum, with shares climbing 443% over the past three years and reaching $661.50 by late December. This price point puts the company in territory where tech giants like Apple, Nvidia, and Tesla have previously implemented forward stock splits. While Meta has not pursued such a move since its public debut, the combination of rising valuations and strengthening earnings raises the question: could a stock split in 2026 become a realistic possibility—and what would it mean for shareholders?

The Capital Investment Story Behind the Stock Rally

The numbers tell a compelling story. Meta plans to deploy $66 billion to $72 billion in capital expenditures during fiscal 2025, with the bulk directed toward expanding artificial intelligence infrastructure. This aggressive investment thesis is already paying dividends in the company’s core digital advertising engine.

The platform reaches nearly 3.5 billion people daily across its interconnected app ecosystem, creating unparalleled scale in the advertising market. More importantly, AI-powered ad optimization tools are enhancing targeting precision and advertiser returns on ad spend. The company is simultaneously broadening monetization pathways through new ad placements on WhatsApp, Reels, and Threads. For long-term investors, this combination of infrastructure buildout and revenue diversification provides a fundamental growth foundation that extends well beyond any near-term trading benefits.

Why a Stock Split Could Matter More Than You Think

Stock splits, strictly speaking, don’t alter a company’s intrinsic value—they simply redistribute that value across more shares at a lower per-share price. Yet empirical evidence suggests psychological and structural benefits do exist. Bank of America research indicates that companies announcing stock splits saw average total returns of 25.4% in the 12-month post-announcement period, nearly double the S&P 500’s 11.9% performance over equivalent timeframes.

The mechanics are straightforward: lower nominal share prices expand the addressable investor universe. Fractional share investing has softened this barrier, but data consistently shows retail investors still harbor a preference for owning complete shares rather than fragments. A split would enhance liquidity, potentially attracting institutional and retail capital simultaneously, which historically correlates with valuation expansion.

The Path Forward for Meta Shareholders

With a share price climbing into the $600+ range and earnings power accelerating, the probability of Meta executing a forward split has arguably never been higher. Such a move would not fundamentally change the company’s business trajectory, but it could serve as a catalyst that amplifies existing tailwinds—improved trading volume, broader market participation, and renewed investor enthusiasm.

For those evaluating Meta’s long-term potential, the stock split question is secondary to the core narrative: a company deploying massive capital into AI infrastructure, monetizing an unmatched user base, and executing well across multiple revenue surfaces. Any structural changes to the share count would simply be the wrapper around that stronger package.