Meta Platforms Economic Overview
Meta Platforms (NASDAQ: META) saw its stock rise approximately 13% in 2025, lagging behind the S&P 500, which gained 16%. However, following a poorly received Q3 earnings report, Meta’s stock has declined about 16% from its all-time high. In Q3, Meta generated a total revenue of $51.2 billion, with $50 billion coming solely from advertising, marking a 26% increase year-over-year.
Amidst substantial investments in artificial intelligence (AI) infrastructure, Meta’s capital expenditures are projected to reach between $70 billion to $72 billion for 2025, with expectations of exceeding $100 billion in 2026. This sharp increase has raised concerns about the company’s spending habits, especially as they transition towards AI-enhanced advertising operations, which could directly influence revenue generation and market perceptions.
