Meta drops 5% after report of possible stock sale for AI spending
What's new: Meta is weighing a sale that could raise tens of billions as its 2026 capital spending target reaches as much as $145 billion.
Meta shares fell more than 5% Friday after the Financial Times reported the company is considering a stock offering worth tens of billions of dollars to help finance its artificial intelligence buildout. The report said Meta has not hired banks and may ultimately decide against issuing new shares. The company pushed back on the report, with a spokesperson calling it "pure speculation." Investor concern has centered on how much cash big tech companies are committing to AI infrastructure. In April, Meta raised its 2026 capital expenditure forecast to as much as $145 billion, up from a prior ceiling of $135 billion. The stock has fallen 13% over the past 12 months, lagging Alphabet as Wall Street weighs whether AI spending will pay off.