{"slug": "one-line-from-meta-s-earnings-call-that-ensured-the-stock-will-likely-stay-dead", "title": "One line from Meta's earnings call that ensured the stock will likely stay dead money", "summary": "Meta CFO Susan Li told analysts the company is not providing a specific outlook for 2027 capital expenditures, tightening 2026 capex to $135 billion-$145 billion, which fueled AI overspending fears and sent Meta stock down 10% in early trading. The tech giant beat revenue estimates at $60.8 billion but missed EPS expectations at $6.18 versus $7.14, driven by $2.4 billion in legal contingencies and $1.2 billion in severance charges.", "body_md": "Meta ([META](https://finance.yahoo.com/quote/META/)) being coy about future AI spending isn't what the market wants to hear as overspending fears rattle tech stocks.\n\nYet that's what the market got — and Meta received another earnings day stock plunge in return. The move is likely to keep dark clouds over the stock through the summer.\n\n\"We aren't providing a specific outlook for 2027 capex at this time,\" Meta CFO Susan Li told analysts on a late-Wednesday earnings call.\n\nMeta did raise the bottom end of its 2026 capital expenditure target, tightening the full-year spending range to $135 billion to $145 billion (up from $125 billion to $145 billion).\n\nBut specifics about 2027 capital expenditures were nonexistent.\n\nLi added, \"Infrastructure planning remains highly dynamic. Even this year, there are a range of outcomes embedded in our outlook.\"\n\nMeta stock plunged 10% in early trading on Thursday. The drop brings Meta's stock down close to 30% year to date.\n\nAll in all, not the reaction Meta and billionaire CEO Mark Zuckerberg wanted.\n\nThe tech giant actually delivered a top-line beat, pulling in $60.8 billion in revenue versus the $60.2 billion analysts were looking for. But here's where the narrative got really messy: Meta completely whiffed on the bottom line, turning in an EPS of $6.18 compared to the consensus estimate of $7.14.\n\nThe earnings miss was almost entirely driven by a $2.4 billion hit for legal contingencies alongside a $1.2 billion severance charge.\n\nOn the legal charges, Li said, \"We continue to see scrutiny on youth-related issues in several markets and have a number of youth-related trials scheduled for this year in the U.S., which may ultimately result in a material loss.\"\n\nLooking ahead, the third quarter revenue guidance of $61 billion to $64 billion came in slightly light compared to the $63.1 billion Wall Street wanted.\n\n\"Meta alluded to medium-term capex growth and issued 3Q guidance that was roughly in line with the Street, which feeds into AI bear concerns on overbuilding and ROIC,\" KeyBanc analyst Justin Patterson said in a note.\n\n*Brian Sozzi** is Yahoo Finance's Executive Editor, host of the **Power Players with Brian Sozzi** podcast, and a member of Yahoo Finance's editorial leadership team. Follow Sozzi on X **@BrianSozzi**, **Instagram**, and **LinkedIn**. Tips on stories? Email brian.sozzi@yahoofinance.com.*\n\n**Click here for in-depth analysis of the latest stock market news and events moving stock prices**\n\n**Read the latest financial and business news from Yahoo Finance**", "url": "https://wpnews.pro/news/one-line-from-meta-s-earnings-call-that-ensured-the-stock-will-likely-stay-dead", "canonical_source": "https://ca.finance.yahoo.com/news/one-line-from-metas-earnings-call-that-ensured-the-stock-will-likely-stay-dead-money-134542007.html", "published_at": "2026-07-30 13:45:42+00:00", "updated_at": "2026-07-30 13:53:35.062492+00:00", "lang": "en", "topics": ["ai-infrastructure", "ai-policy"], "entities": ["Meta", "Susan Li", "Mark Zuckerberg", "KeyBanc", "Justin Patterson", "Yahoo Finance"], "alternates": {"html": "https://wpnews.pro/news/one-line-from-meta-s-earnings-call-that-ensured-the-stock-will-likely-stay-dead", "markdown": "https://wpnews.pro/news/one-line-from-meta-s-earnings-call-that-ensured-the-stock-will-likely-stay-dead.md", "text": "https://wpnews.pro/news/one-line-from-meta-s-earnings-call-that-ensured-the-stock-will-likely-stay-dead.txt", "jsonld": "https://wpnews.pro/news/one-line-from-meta-s-earnings-call-that-ensured-the-stock-will-likely-stay-dead.jsonld"}}