Advertising and social-media stocks, including Alphabet Inc (NASDAQ: GOOG) and Pinterest Inc (NYSE: PINS), are moving higher in the wake of strong fourth-quarter financial results from social media ad giant Meta Platforms Inc (NASDAQ:META).

What Happened: Meta reported fourth-quarter revenue of $32.17 billion, which beat average analyst estimates of $31.53 billion, according to Benzinga Pro. The company reported quarterly earnings of $1.76 per share, which missed estimates of $2.22 per share. 

Meta said it ended the fourth quarter with 2.96 billion daily active people across its family of products, representing an increase of 5% year-over-year.

Fourth-quarter ad impressions were up 23% year-over-year, which appears to be driving several ad-related names higher. 

The company also updated its outlook and increased its buyback authorization by $40 billion. 

Everything You Need To Know: Meta Platforms Q4 Earnings: Shares Soar On Revenue Beat, Updated Guidance; Here's What Mark Zuckerberg Says

Alphabet and Pinterest are seeing the biggest boost from Meta's fourth-quarter report. Alphabet generates more than 50% of its revenue from Google Search ads. Pinterest also generates a significant portion of its revenue from ads and operates in the social media space.

Snap Inc (NYSE:SNAP) is also moving higher following Meta's report, but it's not seeing as much buying interest, likely because it reported disappointing earnings this week. 

Alphabet is set to report its fourth-quarter financial results after the market close on Thursday. Pinterest is scheduled to report after the close on Monday.

GOOG, PINS Price Action: At the time of publication, Alphabet and Pinterest were both up nearly 4% in after-hours, according to Benzinga Pro.

Photo: Photo Mix from Pixabay.