(Bloomberg) -- A leaner Meta Platforms Inc. is impressing Wall Street, with analysts turning more bullish as cost cuts coupled with stabilizing advertising trends make the Facebook owner’s stock look more durable in a looming economic slowdown.

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The shares have surged 140% from a seven-year low in November as Meta started cutting thousands of jobs in light of falling sales. The company announced further layoffs last month and pledged to be more efficient, adding kindling to the rally.

More than two dozen brokerages have increased their price targets on the stock since the second round of job cuts was announced. Analysts also have pushed up Meta’s 2023 earnings per share estimate by 15% over the past three months, according to data compiled by Bloomberg. Morgan Stanley’s Brian Nowak in March restored his buy-equivalent rating after sitting on the sidelines for less than five months.

While the ad business has slowed, it’s at least satabilized, bulls say. And in another positive sign for earnings, changes in Apple Inc.’s privacy policy that make it harder to target iPhone users with ads have now been in place long enough that they’re no longer affecting Meta’s year-over-year growth rate.

“The catalyst for Meta’s recent rally is likely traced to both extensive cost-cutting measures and adjusting to the negative effects of Apple’s privacy changes which significantly hurt ad revenue,” said Mike Akins, founding partner at ETF Action, the index provider of Amplify’s MVPS ETF. “To a large extent, Meta’s recent surge is simply recovering from being oversold.”

Because analyst earnings estimates are rising along with the stock price, Meta’s shares are still much cheaper than its big tech peers and the Nasdaq 100 Index. Trading at 17 times forward earnings, Meta is below its historical 10-year average of 26 times, according to Bloomberg data. In contrast, Amazon.com Inc. trades at 36 times, Microsoft Corp.’s price-earnings ratio is 28, Apple is at 26 and the tech-heavy gauge sells for 24 times.