Meta stock sinks 10% after earnings miss, capex outlook spooks investors

Meta Platforms reported Q2 EPS of $6.18 on $60.8B revenue (missed estimates of $7.14 EPS on $60.2B revenue) while advertising revenue rose to $59.3B, beating expectations. The company also raised the lower end of its 2026 capex guidance to $135-145B and signaled capex could exceed $145B, largely for data centers. Analysts were underwhelmed, calling the quarter barely passable as cash flow remained only modestly positive; the stock fell about 10% in premarket trading amid concerns about higher capital spending and cash generation.