Deutsche Bank issued a bullish note on Meta (META) stock ahead of earnings, citing "overwhelmingly positive" checks on the advertising business. The bank credits Meta’s AI-powered ad ranking, retrieval, and campaign automation for stronger conversion rates and better return on ad spend. Deutsche Bank raised its revenue estimate for Meta to $60.5 billion, above Wall Street consensus, and noted Alphabet’s steady Search revenue growth as a positive sign. The bank flagged that investors hope Meta can reach the top end of its own Q3 guidance, around $64 billion. Meta reported Q1 total revenue of $55.9 billion, up 33% year over year, with ad revenue climbing similarly. Management highlighted AI improvements, including a new adaptive ranking model, and noted that tools like its Value Optimization suite now generate more than $20 billion in annual revenue run-rate, more than double a year earlier. Meta raised its 2026 capital expenditure outlook to a range of $125 billion to $145 billion, up from its earlier estimate, due to higher infrastructure costs.