Meta's Stock Tumbles as AI Spending Spree Accelerates
Meta Platforms' Q2 2026 earnings report fell short of expectations, sending its stock price plummeting nearly 8% in after-hours trading. The company's $6.18 per share earnings missed the consensus estimate of $7.14 by a significant margin of 13%. Despite beating revenue projections with $60.8 billion for the quarter, Meta's disappointing EPS result and increased capital expenditure guidance weighed heavily on investor sentiment.
The company raised its full-year capex guidance to $135-145 billion, up from the earlier range of $125-145 billion. This represents a significant increase, with the low end of the range jumping $10 billion in a single quarter. Meta's focus on AI infrastructure and data centers is driving this spending spree.
The company's partnership with BlackRock to build a $14 billion data center in Texas has sparked interest among Bitcoin miners. With 1 gigawatt of power required for the facility, the escalating energy demand could create opportunities for miners looking to monetize their energy access. Some mining operations are already pivoting toward providing compute services to AI firms.