Microsoft, Meta Platforms, and Alphabet are all experiencing significant stock declines, with year-to-date losses of 24% for Microsoft, 17% for Meta, and 10% for Alphabet. As of Thursday, Meta shares dropped over 8%. The downturn is attributed to broader market reevaluations of capital expenditures related to AI and geopolitical uncertainties.
In fiscal Q2 2026, Microsoft reported a revenue of $81.3 billion, marking a 17% increase year-over-year, though its cloud business growth, at 39%, lags behind Alphabet’s Google Cloud, which surged by 48% to nearly $18 billion in revenue during the same period. Meta’s Q4 revenue reached $59.9 billion, with an 11% increase in earnings per share, signaling concerns due to heavy reliance on social media amid impending infrastructure spending expected between $115 billion and $135 billion in 2026.
