Meta Platforms (META) shares fell on Thursday despite third-quarter results that beat expectations, as investors weighed rising AI spending, negative free cash flow and legal costs. Revenue rose 26% year over year to $64.6 billion, above the roughly $63.4 billion expected, and EPS excluding a $9.89 billion legal settlement charge was $7.40 versus $6.52 expected. Capital expenditures reached $34.91 billion and free cash flow turned negative at $2.12 billion, while the full-year capex outlook was narrowed to $135–145 billion. Meta also faces a $25 billion judgment in a New Mexico privacy case, which it plans to appeal, and expects fourth-quarter revenue of $73–76 billion, in line with consensus of $73.65 billion. The company also announced a 2-for-1 stock split in January 2027 through non-voting Class C shares, which the article says would not change overall market value.
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Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Communication Services |
| Industry | Interactive Media & Services |
| Market cap | $1.9T |
| Close on 10/22/2026 | 648.91 |
| Change that session | -6.97% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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