Meta Platforms closed at $620.19, down 1.64%, on trading volume of 50.4 million shares, about 148% above its three-month average. The company projects its 2026 AI infrastructure spending at $135 billion to $145 billion, versus $72.2 billion in 2025. Its equity offering, originally targeted at $95 billion, was upsized by $2.5 billion to $97.5 billion after the Class A offering was oversubscribed fivefold, consisting of $25 billion of Class A common stock, $12.5 billion of mandatory convertible preferred shares, and $60 billion through a Class C non-voting share at-the-market program scheduled for early 2027. Nvidia and AMD said they would invest a combined $4 billion in Meta as part of deepening AI partnerships, easing some financing concerns. Meta's third-quarter revenue rose 26% to $64.6 billion with guidance above expectations, but investors remained focused on rising capital expenditures.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Keywords
METAfundraisingAI investmentearnings
Open a keyword to see other news on the same topic.
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 10/27/2026 | 620.12 |
| Change that session | -1.66% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Meta's $97.5B AI money grab: why Zuckerberg is racing to raise cash before rivals
Meta priced a $37.5 billion offering of $25 billion in Class A common stock at $625 per share (up from $22.5 billion) and $12.5 billion of mandatory convertible preferred stock paying a 6.50% annual dividend. It also plans an at-the-market share sale program of up to $60 billion, not expected to start before Q1 2027, when its non-voting Class C shares are expected to begin trading, bringing the potential total to $97.5 billion. The article says Meta is moving early as competition for AI funding intensifies, with rivals such as Anthropic, OpenAI, Alphabet and SpaceX pursuing large AI plans and Anthropic possibly raising up to $100 billion in its IPO. According to the piece, this is a strategy rather than a sign of running out of money, aimed at keeping funding from constraining its AI ambitions.
- Meta Stock Falls On Plan For $95 Billion Equity Raise. Analysts Are Offering A Positive View.
- Meta Shares Recover as Company Announces $35 Billion AI Financing Plan
Meta shares recovered from a drop of as much as 4% to trade 1% higher after the company announced about $35 billion in equity offerings to support its AI infrastructure. The package includes $22.5 billion of Class A common shares sold through forward sale agreements and about $12.5 billion of mandatory convertible preferred shares, led by Morgan Stanley and Goldman Sachs, with a 30-day option for up to $3.375 billion more Class A shares. Meta expects 2026 capital expenditure of $135 billion to $145 billion, and generated about $97 billion in operating cash flow in the first nine months of the year. It also plans an at-the-market offering of about $60 billion in non-voting Class C shares, expected to begin in the first quarter of 2027, though no agreement has been signed yet. Nvidia, AMD and Broadcom have indicated non-binding interest in buying up to $5 billion of Class A shares.
- Meta Plans To Raise Up To $95 Billion In Equity To Power AI
- Meta launches $35 billion share offerings as AI spending surges
Meta has launched $35 billion in equity offerings, comprising $22.5 billion of Class A common stock and $12.5 billion of depositary shares representing mandatory convertible preferred stock, and plans a $60 billion at-the-market share-sale program in 2027. The funding supports capital expenditure of $135 billion to $145 billion expected in 2026 for computing capacity and AI, after the company generated $97 billion in operating cash flow in the first three quarters. Nvidia, Advanced Micro Devices and Broadcom have indicated interest in buying up to $5 billion of Class A shares, though the indications are non-binding. Meta will sell the common stock through forward sale agreements with Morgan Stanley and Goldman Sachs, receiving cash when they settle, by November 19, 2027. Third-quarter 2026 revenue was $64.6 billion, up 26% year on year.
- Meta Says It Plans to Raise Up to $95 Billion to Fund AI Goals
Related markets
Latest news
- TSLA Stock Rises As Cybercabs Overtake Model Ys In Authorized Texas Robotaxi Fleet
Data from the Texas Department of Motor Vehicles shows Tesla's purpose-built Cybercab, a steering-wheel-free robotaxi, has become the majority of its authorized robotaxi fleet in Texas for the first time, with 544 of 1,051 vehicles. Model Y accounts for 507, a shift from early October when the registry showed 319 Cybercabs against 420 Model Ys. The data covers authorization only, not whether vehicles are operating or carrying riders. Cybercabs currently run only in Austin, while Tesla's robotaxis operate in Austin, Houston, Dallas and parts of Florida; Tesla said it is looking to add Cybercabs in Dallas next month. TSLA closed 4% higher on Tuesday but is down 9% year to date.
- Why Brown & Brown Stock Slumped by 5% Today
Brown & Brown's third-quarter revenue was almost $1.73 billion, up more than 7% from a year earlier but below the analyst average of $1.76 billion. GAAP net income rose almost 6% to $240 million, while adjusted earnings per share inched up nearly 2% to $1.07, short of the $1.09 consensus. The company cited a challenging rate environment of softening insurance premiums and said the Accession Risk Management Group acquisition, a $9.8 billion deal in 2025, helped results. Organic revenue, which excludes acquisitions, rose barely over 1% to $1.46 billion, pointing to weakness in the legacy business. The stock closed nearly 5% lower on Tuesday amid a broad investor sell-off.
- Penguin Solutions, Broadcom, FormFactor, Lattice Semiconductor, and AMD stocks trade up, what you need to know
Several chip and AI hardware stocks rose in the afternoon session after Broadcom reportedly secured $63 billion in bank financing to develop proprietary AI chips for Anthropic. Anthropic's IPO filing and Meta's equity offering were seen as signs that tech capital spending remains robust. PENG rose 7.8%, AVGO 3.8%, FORM 5.9%, LSCC 5.2% and AMD 5.3%. The article notes PENG had dropped 9.4% five days earlier after warnings that component shortages and cleanroom constraints would limit chip equipment makers through 2027, citing Lam Research. PENG has had 69 moves greater than 5% over the past year.
- Investing $1,000 in Each of These 3 Stocks 20 Years Ago Would Have Created a Portfolio Worth $674,000 Today
The article calculates that a $1,000 investment in each of Nvidia, Netflix and Amazon 20 years ago would be worth about $674,000 combined as of October 26. Nvidia's stake would be worth about $383,000, with most gains coming in the past couple of years as generative AI took off; the chipmaker's operating profit totaled nearly $200 billion over the past four quarters, its market cap is around $5.3 trillion, and it trades at 28 times trailing earnings. Netflix's stake would be worth more than $161,000, but its stock has fallen this year on concerns about slowing growth and is trading near its 52-week low. Amazon's stake would be worth about $130,000, and its operating income last year reached $80 billion, more than six times the $12 billion of three years earlier; the stock trades at around 20 times trailing earnings. The author argues these growth stocks can still be good buys today.
- Western Digital, Allegro MicroSystems, Amtech, and Teradyne shares skyrocket, what you need to know
Several semiconductor stocks rose sharply in the afternoon session after Broadcom obtained $63 billion in bank financing to develop proprietary AI chips for Anthropic. Alongside Anthropic's IPO filing and Meta's equity offering, the news signaled that tech capital spending remains robust. Among the gainers, Western Digital (WDC) rose 8.1%, Allegro MicroSystems (ALGM) gained 6.4%, Amtech (ASYS) added 5.1% and Teradyne (TER) climbed 5.6%. The article notes WDC has had 79 moves greater than 5% over the past year, and about 22 hours earlier the stock had gained 5.2% after Bank of America projected memory chip supplies would stay tight through 2028. Citing CNBC, the article says semiconductor fabrication equipment spending is projected to exceed $200 billion in 2027, as demand outpaces clean-room capacity and the availability of critical parts.
- Is Benz Mining (TSXV:BZ) Cheap On Icon Drilling Results Or Already Priced In?
Benz Mining (TSXV:BZ) reported extensive drilling results from the Icon gold camp at its Glenburgh Gold Project in Western Australia, confirming repeated stacked high-grade gold lenses. The share price rose 11.03% on the day and 10.47% over the past week, but fell 15.62% over 30 days; it is up 180.38% year to date and returned 205.52% over 12 months. A valuation narrative cited in the article puts fair value at CA$6.28 versus a last close of CA$4.43, implying 29% undervaluation. The article notes the market values Benz above C$1 billion without a current maiden Mineral Resource, and the stock trades at 26.4 times book value versus 2.2 times for the Canadian metals and mining group. Risks include less of the Exploration Target converting into compliant ounces than hoped or weaker project economics in future studies.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.