S&P Global Ratings revised its outlook on Meta Platforms to negative from stable, citing uncertainty over how long capital expenditures will stay elevated and its negative free operating cash flow. The agency projects Meta's capex will reach $140 billion this year and exceed $225 billion in 2027 and $252 billion in 2028. It expects free operating cash flow deficits of $22 billion in 2026 and $71 billion in 2027, narrowing to $39 billion in 2028. S&P said Meta's ability to monetize its AI investments is more limited than peers', and its adjusted leverage could rise to 1.3x when leases commence in 2028, above the 1.0x downgrade threshold for its current rating. Meta raised $37.5 billion through common and convertible preferred stock and plans to add $60 billion through a Class C at-the-market program starting January 2027.
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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 | $1.7T |
| Close on 10/30/2026 | 614.98 |
| Change that session | -1.53% |
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