Meta stock declined 9% after April 29 earnings as investors worry about $125 billion to $145 billion AI capital spending in 2026 with unclear return on investment.

Meta announced capital expenditure plans of $125 billion to $145 billion for 2026, up from $115 billion to $135 billion, while CEO Mark Zuckerberg stated the company is using AI to improve content recommendations, optimize advertising, and boost productivity.

Unlike Alphabet, Amazon, and Microsoft—which sell AI cloud services to other companies—Meta is a buyer of AI services and does not yet have a clear path for monetizing its AI models, leaving investors uncertain about recouping its AI capex costs.

Meta's stock has declined by about 9% since earnings on April 29 and is down 7.8% year to date, while Alphabet shares gained 10% and Amazon is up 2% in the same time frame.