**Meta Platforms Faces 19% Decline Amid AI Model Delay**
Meta Platforms (NASDAQ: META) has seen a 19% drop in stock value over the past six months due to concerns over its spending on AI infrastructure and a delay in the rollout of its latest AI model, Avocado. These reports emerged last Friday, marking another setback for the social media company. Capital expenditures on AI are projected to range from $115 billion to $135 billion by 2026.
Despite the recent challenges, Meta’s fundamentals remain strong with a reported revenue of $201 billion in 2025, representing a 22% year-over-year growth, primarily from advertising, which made up 98% of total revenue. The company boasts an impressive operating margin of 41%, significantly higher than Alphabet’s 32%.
Investors are cautioned, as recent assessments suggest that Meta was not included in a list of top stocks recommended for purchase, signaling caution among market analysts regarding the company’s recent performance and direction.
