Meta is looking to spend up to $145 billion on AI capital expenditures this year. For the first stock, I want to move to Meta Platforms. I think this is one of my favorite stocks this year.
The arrow was punished , and that was justified. I think the market always finds reasons for that, and there are many of them. I mean, many could argue that this company's increased capital expenditure is one of the reasons for its punishment, wouldn't they ?
We have seen capital expenditures reach approximately $130 billion to $145 billion for this year. The second thing is that, unfortunately, there are a lot of those legal issues that occur with Meta.
We've had a few updates in the past few weeks that suggest things may not be as bad as the market thinks. But the market is still a little scared here and there. I mean, in their most recent second-quarter earnings , legal costs caused the company to lose money or not achieve its expected earnings per share.
This is a story that will continue to be repeated over and over again. Therefore, there are those risks related to legal proceedings and capital expenditures.