Dateline: November 7, 2025 — New York
Meta Platforms (NASDAQ: META) traded lower again on Friday as investors weighed a massive new U.S. investment commitment for AI data centers against renewed scrutiny of the company’s advertising integrity. As of ~19:04 UTC, META changed hands near $613.64, with an intraday range of $601.20–$621.55 and a market cap around $1.85 trillion.
Key takeaways
- Price action: META eased in afternoon trade, extending a post‑earnings slide that began on Oct. 29 after the company raised 2025 capex guidance and signaled even heavier AI spending in 2026. 1
- Big new headline today: Meta pledged “at least $600 billion” in U.S. infrastructure and jobs over the next three years, primarily for AI data centers—adding fresh clarity, and sticker shock, to its multiyear compute buildout. 2
- Lingering overhang: A Reuters investigation published yesterday alleged internal projections that roughly 10% of 2024 revenue could be tied to ads for scams and banned goods—exacerbating regulatory and reputational risk; Meta disputes the characterization. 3
What’s moving Meta stock today
1) A $600B U.S. AI buildout
Meta told Reuters it will invest $600 billion in U.S. infrastructure over the next three years—principally AI data centers—to “front‑load capacity” for future compute needs. The report cites earlier remarks to President Donald Trump and reiterates management’s intent to scale aggressively after Q3’s spending update. The move follows recent deals to fund large campuses, including a $27B financing with Blue Owl for the “Hyperion” Louisiana site and $1.5B toward a new Texas facility. 2
2) Ad‑fraud revelations remain a live risk
On Thursday, Reuters reported that internal Meta documents projected about 10% of 2024 revenue could stem from ads tied to scams or prohibited goods and estimated 15 billion “higher‑risk” scam ad impressions per day. Meta said the documents were “selective” and that internal estimates later came in lower, highlighting ongoing enforcement efforts. The coverage has been amplified globally today, keeping pressure on sentiment. 3
3) Macro and “Magnificent Seven” context
META continues to be among the week’s weaker mega‑cap tech names as AI‑capex and valuation jitters weigh on the Nasdaq complex. Broader market write‑ups this morning and into the U.S. session pointed to continued tech‑led selling. 4
Street context: Spending shock vs. long‑term upside
- Capex path: On the Q3 print, Meta lifted 2025 capex to $70–$72B and said 2026 spending will be “notably larger.” Today’s $600B U.S. plan reinforces that trajectory. 1
- Debt and financing: In the past week Meta completed a $30B bond sale across multiple maturities—its largest to date—after previously lining up the $27B Hyperion private‑credit structure with Blue Owl. These steps diversify funding for the AI buildout. 5
- Analyst temperature check: Despite near‑term FCF pressure, post‑earnings roundups still show consensus 12‑month targets clustered in the ~$825–$860 area, implying meaningful upside from current levels, while some houses trimmed targets on higher capex. 6
The numbers driving the narrative
- Today’s trade: Price $613.64; day high $621.55 / day low $601.20; market cap ~$1.85T (as of ~19:04 UTC).
- Q3 2025 snapshot:Revenue $51.24B (+26% y/y); GAAP EPS $1.05 after a ~$15.93B non‑cash tax charge tied to recent U.S. legislation; capex guidance $70–$72B for 2025, with 2026 “notably larger.” 7
What’s next (near‑term catalysts)
- Regulatory scrutiny: Expect follow‑up from U.S. and international regulators on ad integrity questions after this week’s reporting, which could influence enforcement priorities or disclosure expectations. 3
- Earnings calendar: The next META earnings date is currently forecast for Jan. 28, 2026 (after market, unconfirmed)—a likely checkpoint for updated capex and AI‑product monetization color. 8
Bottom line for Nov. 7, 2025
Meta’s stock remains caught between sheer scale AI ambitions and investor patience for payback. Today’s $600B U.S. commitment underscores how capital‑intensive the compute race has become, while the ad‑fraud narrative adds non‑trivial headline and regulatory risk. Until management shows clearer, nearer‑term monetization from AI initiatives—and until integrity concerns quiet down—volatility is likely to persist, even as longer‑term models still point to upside if the spend translates into durable revenue and platform advantages. 2
Disclosure: This article is for informational purposes only and does not constitute investment advice. Always do your own research.
