Cowen analyst John Blackledge said his survey data shows that 21% of Meta Platforms' Instagram users regularly used Reels in May 2022, the highest level since he started tracking its usage.
He said while rising Reels usage is positive, it is a near-term drag on monetization as META ramps its advertising offering. Blackledge reiterated his Outperform rating and $300 price target on $META Platforms shares.
Good to see such growth in Reels. Did he make any comparisons to TikTok?
Numbers should increase even more in the coming months as $META is shifting the UI even more towards Reels.