Meta Platforms Inc. is experiencing a dramatic 62% drop in stock value this year, spurred by a turbulent digital advertising environment. In response, the company is aggressively increasing its capital expenditures, forecasting between $34 billion and $39 billion in 2023, focusing on the metaverse and artificial intelligence infrastructure. While Meta's heavy investments aim to secure long-term growth, the struggle reflects broader market pressures, as 22% of S&P 500 companies face bottom-line misses.
“shares of Facebook parent Meta Platforms Inc. · cratered · profits · torn-in-half”
“capital spending · increased · Mark Zuckerberg's metaverse ambitions · hike”
“one analyst · is asking · server chips · can only go up”
“Investors · were optimistic about · Nvidia · today”
“Meta Platforms · said on its recent quarterly-earnings call that it is · increasing its capital expenditures · on artificial intelligence (AI) infrastructure”
“Meta Platforms · helped give · Nvidia's shares · a boost”
“For 2023, we · expect capital expenditures to be in the range between · $34 billion to $39 billion · driven by our investments in data centers, servers, and network infrastructure”
“Alphabet and Meta Platforms · were · battered by softness in digital advertising · true”
“Apple · warned of · an upcoming holiday slowdown · true”
“the strong US dollar · hurt · Microsoft, 3M and McDonald’s · true”
“Kraft-Heinz · was spared from · the strong US dollar impact · true”
“Exxon and Chevron · smashed · analysts’ expectations · true”
