GoKawiilCramer, BofA Say Meta's Legal Risk Shouldn't Scare Off Investors
Meta Platforms faces a federal trial in Oakland brought by 29 state attorneys general over allegations it designed addictive features harming children, a case that could drag on for years and result in massive damages. Despite the stock falling 26% in 2026 amid this litigation and AI spending worries, Jim Cramer and Bank of America argue the selloff is overdone. BofA reiterated its buy rating and $810 price target, citing Meta's AI infrastructure buildout and a valuation of about 16 times 2027 earnings estimates.
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The Oakland trial's outcome, though only advisory since a judge makes the final call, could shape how dozens of similar lawsuits nationwide proceed against Meta and other social platforms. For investors, the case adds a legal overhang atop existing skepticism about Meta's heavy AI capital spending, making the stock's near-term direction hinge on both courtroom developments and confidence in future AI returns.
- Meta is a defendant in a multi-state trial alleging its platforms fostered addictive behavior in children.
- BofA maintains a buy rating and $810 target, implying about 45% upside from current prices.
- The jury's verdict is only advisory, with final judgment left to the presiding judge, tempering worst-case fears.
Meta Quest 3S VR Headset — If you're following Meta's long-term story beyond the courtroom headlines, the Quest 3S is the most tangible piece of the company's hardware bet you can actually hold. It's a standalone mixed-reality headset that plays games, streams video, and runs Horizon apps without a PC. A fun way to see what Zuckerberg keeps pouring money into.
See Meta Quest 3S VR Headset on Amazon → Affiliate link — we may earn a commission on purchases, at no extra cost to you. Product picked by AI based on this article; it is not a tested recommendation.Source: cnbc.com — Paulina Likos, 2026-08-24
Published there as: “Jim Cramer says don't sell Meta on litigation risk — the stock is worth the wait”
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