Key Takeaways
- Wolfe Research identifies Meta, Uber, DoorDash, and Shopify as premier large-cap internet investment opportunities
- Internet mega-caps currently trade significantly below their three-year median valuations
- TD Cowen maintains Buy rating on Meta with $820 target, highlighting AI-powered advertising expansion
- Uber initiated autonomous taxi services in Dubai and announced Blacklane acquisition plans
- DoorDash price targets revised lower by analysts following new driver fuel subsidy announcement, though Buy recommendations persist
Wolfe Research has spotlighted Meta, Uber, DoorDash, and Shopify as premier large-cap internet stock opportunities. According to the investment firm, current market prices present compelling entry points following a widespread sector decline.
Internet mega-cap companies are currently valued three turns beneath their three-year median levels. Large-cap names similarly trade below their historical average valuations.
Despite this valuation compression, Wolfe Research emphasizes that underlying business fundamentals remain solid. The firm’s strategy centers on identifying companies with the strongest probability of earnings estimate increases, margin enhancement, and durability against economic headwinds.
Meta Platforms
Wolfe Research assigns Meta an Outperform rating alongside an $800 price objective. The stock has lagged the S&P 500 by 12 percentage points following its January quarterly results.
The investment house anticipates first-quarter sales will surpass analyst projections by a low-single-digit percentage. Looking to the second quarter, Wolfe predicts management will provide revenue guidance of $61 billion, exceeding the $60 billion Wall Street estimate.
Artificial intelligence enhancements through platforms including Lattice, GEM, and Andromeda are projected to fuel this expansion. The rollout of the Muse Spark large language model represents a significant potential catalyst.
TD Cowen maintains its Buy recommendation with an $820 price objective. The firm’s projections for revenue and operating income sit 1% and 6% above consensus estimates, respectively, for the first quarter.
Meta’s revenue climbed 22% year-over-year to reach $201 billion, accompanied by an 82% gross profit margin. The company reports earnings on April 29.
On the regulatory front, the European Commission is preparing to mandate that Meta reverse a policy that limits competing AI chatbots on WhatsApp.
Uber Technologies
Wolfe Research assigns Uber an Outperform rating with a $90 price objective. The stock has trailed the S&P 500 by two percentage points since its February earnings announcement.
First-quarter bookings are projected to exceed estimates by a low-single-digit margin. Second-quarter guidance is anticipated to meet or surpass consensus expectations.
Uber recently announced plans to acquire Blacklane, an international chauffeur service provider. The company is additionally evaluating the possibility of obtaining a controlling interest in Kakao Mobility.
The ride-hailing giant has introduced completely autonomous robotaxi services in Dubai through its application. Market watchers also identify more aggressive stock repurchase programs as a possible growth driver in the latter half of 2026.
DoorDash
Wolfe Research rates DoorDash Outperform with a $195 price objective. Shares have underperformed the S&P 500 by 12 percentage points since February.
The firm projects first-quarter gross order value and EBITDA will exceed expectations. Proprietary research data indicates DoorDash is capturing additional market share within the grocery delivery segment.
Multiple analysts, including the team at BTIG, have reduced price objectives due to expenses associated with a newly implemented driver fuel subsidy initiative. However, all have preserved their Buy or Outperform recommendations.
Shopify
Wolfe Research had previously downgraded Shopify when shares traded near $165. The firm now considers the current $112 price level an attractive opportunity.
First-quarter gross merchandise volume, revenue, and operating income are all projected to surpass Street expectations. New product offerings such as Shop Campaigns, Audience, and Sidekick, combined with an expanding Google collaboration, are identified as critical growth catalysts.
Wells Fargo and Deutsche Bank have adjusted their price targets downward while maintaining positive ratings. Piper Sandler reaffirmed an Overweight rating, emphasizing a robust revenue growth trajectory.
