Nov. 19 at 6:50 PM
Meta shares continued to fall Wednesday as investors worry about soaring spending to support CEO Mark Zuckerberg’s AI strategy. Cantor Fitzgerald cut its price target, citing rising cloud-capacity commitments that will pressure earnings.
Meta’s non-cancellable cloud obligations jumped by
$53 billion in Q3 to
$81 billion—the biggest increase on record—as the company expands deals with Google Cloud, Oracle, CoreWeave and Nebius. Cantor now expects Meta’s 2026 operating expenses to climb 30% to
$152 billion and trimmed earnings estimates.
The stock is down more than 20% since Q3 earnings and is close to turning negative for the year, with weakening relative strength and institutional selling adding to pressure.
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