Meta Platforms reported Q3 earnings with revenue beating estimates at $60.8 billion but earnings per share falling short at $6.18 versus $7.22 expected. The company’s costs rose 55% year-over-year, driven by over $1 billion in severance pay from layoffs. Meta’s Reality Labs division posted a $4.6 billion loss on $431 million in sales, highlighting ongoing challenges in its AI and VR investments. CEO Mark Zuckerberg provided cautious guidance on infrastructure spending for 2027, emphasizing flexibility amid high demand for AI computing power. Despite strong user engagement growth, investor concerns about Meta's heavy AI investment and cash burn led to a 10% share price drop, extending its longest losing streak on record.
Meta's shares fell 9% in one day, marking an 11-day losing streak and cutting Mark Zuckerberg's net worth by nearly $18 billion to $183.3 billion. The drop follows Meta's increased AI spending forecast to $137.5 billion and earnings below analyst exp...
Meta Platforms' stock lost more than $160 billion in value recently, dropping over 11% in five days after earnings showed rising AI infrastructure costs squeezed profits. Despite this, Wall Street analysts remain optimistic, with Mizuho lowering its ...
Amazon plans to spend around $200 billion on capital expenditures in 2026, driven by growing investments in artificial intelligence. The company reported a 77% increase in capex to $44.2 billion in Q1, with expectations to rise to $49.3 billion in Q2...
Meta CEO Mark Zuckerberg announced that AI, particularly large language models (LLMs), is enabling the company to develop and launch new apps faster than before. Recent launches include standalone apps for Marketplace sellers, Facebook Groups, and In...
Meta Platforms is experiencing slowing growth, shrinking profit margins, and a weakening balance sheet due to aggressive investments in AI technology. Despite these challenges, the company's valuation remains high at 36 times trailing free cash flow,...
