Meta Raises 2026 CapEx Guidance to $125–$145 Billion, Sending Shares Down 8%
Meta Platforms (META) shares fell 8% after the company raised its 2026 capital expenditure guidance to $125–$145 billion, despite beating Q1 FY2026 earnings. The increase in CapEx, driven by higher component pricing and data center costs, has raised concerns about the sustainability of AI investments. Meta's Reality Labs division is burning through $4.03 billion quarterly, and the return on AI investments remains unclear.
Topics: AI Investments CapEx Earnings Report Meta Platforms Stock Price Movement