JPMorgan Downgrades Meta Platforms Due to Concerns Over AI Spending and Competition
JPMorgan downgraded Meta Platforms to 'neutral' from 'overweight' and reduced its price target, citing concerns over Meta's ability to generate returns from its heavy AI investments amid increasing competition. Meta raised its full-year capital expenditures outlook to $125 billion to $145 billion, despite reporting better-than-expected Q1 results. The stock fell over 9% following the announcement.
Topics: AI investment analyst downgrade capital expenditures Meta Platforms stock performance