Meta Stock Sinks 10% as Analysts Cut Targets on Capex Fears

Meta Platforms shares have plunged about 10% in trading after Q1 earnings beat estimates but raised capex guidance sparked cash flow worries, prompting analysts like Cantor and Stifel to slash price targets. The stock initially fell 6% in after-hours on April 29 after revenue hit $56.3B (vs. $55.45B est.) but Daily Active People missed at 3.56B (vs. 3.62B), with Q1 capex at $19.84B below estimates yet full-year outlook lifted to $125–$145B. On April 30, adjusted EPS reached $10.44 (or $7.31 excl. tax benefit), but accelerated AI spending to $135B midpoint and paused buybacks fueled selling, with eyes on ad ROI and potential $20–25B bond sale.