Tech giant Meta’s AI spending spree has hurt investors’ sentiments despite good quarterly results. The shares of the company took a downward turn despite having reported a robust result. Financial Times reports that the firm also raised its capex guidance, giving a hit to investor sentiments.
Meta’s AI Spending Spree Sends Shares Down
According to The Financial Times, although Meta’s revenues surged by more than 25% in the first three months of the year, above forecasts, the company’s shares experienced a roughly 12% decline in after-hours trading on Wednesday due to Wall Street’s reaction to its ongoing expenditure binge on artificial intelligence.
According to an earnings report, the social media group’s revenues increased by 27% to $36.5 billion, barely over analysts’ projections of $36.2 billion. Meta increased its capital expenditure projection for the entire year by up to 40% from $37 billion, citing the need to “continue to accelerate our infrastructure investm
We współpracy z: https://coingape.com/metas-continued-ai-spending-spree-overshadows-robust-q1-earnings/
