Kevin O'Leary Expects A Narrative Shift From Meta: Why The 'Shark Tank' Investor Is Buying Stock Ahead Of Earnings

Meta Platforms Inc FB is set to announce its quarterly results after the market closes Wednesday. "Shark Tank" investor and O'Shares ETFs chairman Kevin O'Leary expects the company to shift its focus to the introduction of a "curated metaverse."

"I think the narrative is going to start to change in this quarter," O'Leary said Wednesday on CNBC's "Fast Money Halftime Report."

After rebranding from Facebook to Meta during the company's last report, O'Leary thinks the company will really focus on explaining its vision for the metaverse during its conference call tonight.

"If you are an investor, you have to start thinking about an issue that is going to involve large advertisers," O'Leary said.

The "unregulated metaverse" being developed on decentralized crypto platforms will fail to gain traction with big companies that do a lot of advertising, he said, adding that those companies won't want to be associated with certain unregulated businesses.

"What Zuckerberg is going to start talking about is a curated metaverse where he can guarantee you safety in terms of what brands you are associated with," O'Leary said.

He explained that big brands like Procter & Gamble Co PG and Nike Inc NKE "simply don't want to set up in the metaverse beside a porn shop or a smoke shop or a liquor store."

O'Leary expects Meta to start focusing on communicating the value enhancement it can bring to the metaverse by offering a curated space. When the company does, he thinks investors are going to pay up because Meta will be one of the few companies offering such an experience.

O'Leary told CNBC that he has been buying shares of Meta ahead of the company's earnings after the bell.

FB Price Action: Meta has traded as low as $253.50 and as high as $384.33 over a 52-week period.

The stock was up 1.6% at $324.10 Wednesday afternoon.

Photo: courtesy of Meta.

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