Aureus
AExcellent

Meta Platforms, Inc.(META)

A

Financial data as of Dec 31, 2025Stable · Communication Services

FCF Margin22.9%Free Cash Flow / Revenue
Cash Conversion191.5%Operating CF / Net Income
Free Cash Flow$46.1B
Revenue$201.0B
Net Cash-$48.0BNet debt position
Debt / FCF1.8xManageable debt load
Current Ratio2.60Adequate short-term liquidity
YoY FCF Growth+9.3%5 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseA
→
+0.5Healthy FCF margin with manageable debt (22.9%, 1.8x)
→
+1Very low debt-to-FCF ratio (1.8x)
→
+0.5Highly consistent quarterly FCF
→
FinalA

Analysis Summary

Strengths

  • Exceptional FCF margin (22.9%)
  • Excellent cash conversion (192%)
  • Very low debt relative to cash flow (1.8x)
  • Strong liquidity (current ratio: 2.60)
  • Highly consistent quarterly FCF

Concerns

  • Net debt position ($48.0B)

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin22.9%
Net Margin30.1%
Operating CF Margin57.6%
CapEx Ratio34.7%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash-$48.0BNet debt position
Debt / FCF1.8xManageable debt load
Current Ratio2.60Strong liquidity
Debt / Equity0.39Low leverage

Quarterly FCF Trend

+9.3% YoYStable (+9.3%)

Free cash flow per quarter

Sector Comparison — Communication Services

FCF Margin ranked against sector peers

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Detailed Metrics

Company NameMeta Platforms, Inc.
SectorCommunication Services
Free Cash Flow$46.1B
Revenue$201.0B
Net Income$60.5B
Operating Cash Flow$115.8B
Capital Expenditure$69.7B
FCF Margin22.9%
Cash Conversion Rate191.5%
Net Margin30.1%
Total Debt$83.9B
Total Cash$35.9B
Net Cash-$48.0B
Current Ratio2.60
Debt / Equity0.39
Debt / FCF1.8x
YoY FCF Growth+9.3%
Positive Quarters5 of 5
Trend DirectionStable
Report DateDec 31, 2025
GradeA
Data SourceYahoo Finance

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