RaySuper
04-30 17:19

Long term, the story is still intact. Meta has strong cash flow, a dominant ads platform, and real positioning in AI. But in the short term, the stock may stay volatile or move sideways as investors wait for clearer signs that these AI investments will pay off.

Instead of blindly buying the dip, a more measured approach makes sense. You can scale in gradually rather than going all at once. If you’re using options, selling puts at levels you’re comfortable owning the stock can be more efficient. It also helps to balance exposure with names that have more stable cash flow and less aggressive spending.

Meta's $145B Capex Shock! Will META Fall Below $600?
Meta Platforms (META) tumbled another 8.55% today, extending its post-earnings selloff to a two-day cumulative decline exceeding 14%. Q1 revenue growth of 33% beat estimates, but a full-year capex raise to as much as $145 billion has rattled near-term profit expectations. The divergence with Alphabet — up 10% after its same-day earnings — marks the starkest split within the Magnificent 7. When will Meta's $145 billion AI investment deliver returns the market can actually see, and is a dip below $600 a buying opportunity?
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Comments

  • Adz5150
    06:01
    Adz5150
    Agreed the long-term story is still there. I just think the market wants clearer proof that AI spend will feed back into monetisation and margins soon enough.
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