Meta Platforms shares fell about 7%, from US$697.52 to roughly US$648.85, even though Q3 2026 revenue rose 26% to US$64.6b. Net income excluding special items reached US$9.9b, more than triple the prior-year level, but investors focused on the profit squeeze from heavy AI spending and a US$9.9b legal charge tied to teen safety settlements and broader legal actions. Free cash flow turned to an outflow of roughly US$2.1b in Q3, while 2026 capex is now guided to US$135b to US$145b. The article says the stock could be a mild 13% overvalued relative to the cash flowing through the business.
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Related tickers and likely impact
META
▼ Likely negativeMeta Platforms
Relevance: high
| 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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