META: Record revenue, but the cost of growth is rising.
Meta generated $64.6B in quarterly revenue, up 26% year over year. Yet its reported EPS of $3.83 missed the $6.54 consensus.
The key detail? A $9.89B legal charge pushed down reported earnings, while adjusted EPS reached $7.40.
But investors shouldn’t ignore the bigger risk: AI infrastructure spending is accelerating, and operating margins are under pressure.
The real question isn’t whether Meta can grow. It’s whether AI investments can generate returns fast enough to justify the cost.
Watch ad monetization, capital expenditure, and margin recovery next quarter.
#meta
$META
Meta generated $64.6B in quarterly revenue, up 26% year over year. Yet its reported EPS of $3.83 missed the $6.54 consensus.
The key detail? A $9.89B legal charge pushed down reported earnings, while adjusted EPS reached $7.40.
But investors shouldn’t ignore the bigger risk: AI infrastructure spending is accelerating, and operating margins are under pressure.
The real question isn’t whether Meta can grow. It’s whether AI investments can generate returns fast enough to justify the cost.
Watch ad monetization, capital expenditure, and margin recovery next quarter.
#meta
$META