S&P Global Ratings revised Meta's outlook to negative while keeping its AA- rating, citing uncertainty over elevated capex and negative free cash flow tied to AI spending. Meta expects full-year capex of $135–145 billion and posted negative free cash flow of $2.12 billion in its third-quarter report, its first time in the red. S&P expects capex growth to start flattening from 2028 but is less certain Meta will curtail spending as previously anticipated. Meta shares fell 7% after earnings and 15% in October, the worst month in four years, and the company plans to raise $95 billion, including $35 billion in underwritten public equity offerings and $60 billion through an at-the-market program. A Meta spokesperson disagreed with S&P's view of its AI monetization, saying its infrastructure will open new revenue streams.
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META
▼ Likely negativeMeta Platforms
Relevance: high
| Market | US stocks |
|---|---|
| Sector | Communication Services |
| Industry | Interactive Media & Services |
| Market cap | $1.7T |
| Close on 10/30/2026 | 614.98 |
| Change that session | -1.53% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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