Articles > Stock Market Volatility: Meta and Microsoft Impact Investor Sentiment
- Meta stock fell 12% due to increased AI spending overshadowing strong Q3 results
- Amazon lags behind other tech giants in Q3 earnings, investors await updates on AI strategy
- GOOGL, MSFT, and META invest billions in AI infrastructure
- Meta faces a $16 billion tax charge, plans larger capital expenditure for 2025
- Meta partners with Treaty Oak Clean Energy for Louisiana solar projects
Stocks in the US market faced a decline today as concerns over Artificial Intelligence (AI) spending unsettled investors. The negative sentiment was fueled by drops in Meta and Microsoft stock prices. Meta saw a 12% decrease in its stock value, attributed to elevated AI spending that overshadowed the company's strong third-quarter performance. CEO Mark Zuckerberg defended the increased capital expenditures, emphasizing the returns already visible in the core business and the aggressive preparations for advancements in superintelligence. Despite beating revenue expectations in Q3, Meta missed on earnings per share.
Amazon, as one of the technology giants, has been trailing behind in its Q3 earnings performance. Investors are eagerly awaiting updates on the company's AI ambitions and its strategy to compete against other leading tech players like Microsoft and Alphabet. Meanwhile, GOOGL, MSFT, and META have all significantly ramped up their investment in AI infrastructure, with multibillion-dollar commitments as demand for cloud and data centers continues to surge.
In a surprising turn of events, Meta faced a nearly $16 billion onetime tax charge in the third quarter linked to government regulations. The company plans to increase its capital expenditure significantly in 2025, following the tax hit. Additionally, Meta joined forces with Treaty Oak Clean Energy to sign long-term power purchase agreements, driving Louisiana's clean energy transition and expanding Treaty Oak's renewable energy portfolio.
Despite the challenging market conditions, institutional investors have shown confidence in Meta Platforms Inc., as evidenced by increased positions held by firms like Orin Green Financial LLC and Stephens Inc. AR. Crewe Advisors LLC also entered the scene by acquiring a stake in Meta Platforms Inc. Reflecting on the latest market developments, the stock market's volatility persists as investors closely monitor the impact of Meta and Microsoft on overall sentiment in the tech sector.
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Up/Down Rally Price Distribution Analyst Recommendations Earning Price Impact Analysis Seasonality
Stock Market Volatility: Meta and Microsoft Impact Investor Sentiment
By KlickAnalytics Data Insights | October 30, 2025 09:54AM ET
Key Points
- Meta stock fell 12% due to increased AI spending overshadowing strong Q3 results
- Amazon lags behind other tech giants in Q3 earnings, investors await updates on AI strategy
- GOOGL, MSFT, and META invest billions in AI infrastructure
- Meta faces a $16 billion tax charge, plans larger capital expenditure for 2025
- Meta partners with Treaty Oak Clean Energy for Louisiana solar projects
Stocks in the US market faced a decline today as concerns over Artificial Intelligence (AI) spending unsettled investors. The negative sentiment was fueled by drops in Meta and Microsoft stock prices. Meta saw a 12% decrease in its stock value, attributed to elevated AI spending that overshadowed the company's strong third-quarter performance. CEO Mark Zuckerberg defended the increased capital expenditures, emphasizing the returns already visible in the core business and the aggressive preparations for advancements in superintelligence. Despite beating revenue expectations in Q3, Meta missed on earnings per share.
Amazon, as one of the technology giants, has been trailing behind in its Q3 earnings performance. Investors are eagerly awaiting updates on the company's AI ambitions and its strategy to compete against other leading tech players like Microsoft and Alphabet. Meanwhile, GOOGL, MSFT, and META have all significantly ramped up their investment in AI infrastructure, with multibillion-dollar commitments as demand for cloud and data centers continues to surge.
In a surprising turn of events, Meta faced a nearly $16 billion onetime tax charge in the third quarter linked to government regulations. The company plans to increase its capital expenditure significantly in 2025, following the tax hit. Additionally, Meta joined forces with Treaty Oak Clean Energy to sign long-term power purchase agreements, driving Louisiana's clean energy transition and expanding Treaty Oak's renewable energy portfolio.
Despite the challenging market conditions, institutional investors have shown confidence in Meta Platforms Inc., as evidenced by increased positions held by firms like Orin Green Financial LLC and Stephens Inc. AR. Crewe Advisors LLC also entered the scene by acquiring a stake in Meta Platforms Inc. Reflecting on the latest market developments, the stock market's volatility persists as investors closely monitor the impact of Meta and Microsoft on overall sentiment in the tech sector.
For more information:
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