Meta poised to beat Q2 as AI bets draw investor scrutiny

Meta Platforms is expected to beat Q2 estimates thanks to strong advertising demand and early returns from AI investments, with Bank of America calling for revenue of $60.6B and EPS of $7.50, above consensus. Analysts point to AI initiatives—advertising improvements tied to AI models, Muse Spark, and potential external compute sales (including a possible Anthropic deal)—as key drivers, with Q3 guidance seen at about $60.5B–$63.5B in revenue (roughly 18%–24% YoY). Meta may trim expense guidance by $1B–$2B and raise its capex outlook to $135B–$150B; longer-term AI bets could lift 2027 revenue to around $316B and EPS to $35, though investors remain cautious on the returns from AI spend.