Meta’s Q1 2026 earnings beat estimates with 33% revenue growth, but higher capex guidance weighs on shares.
Meta Platforms reported Q1 2026 revenue of $56.311 billion, up 33.08% year-over-year, and EPS of $10.44, surpassing estimates by 57%. Daily active users reached 3.56 billion across its Family of Apps, while management raised full-year capex guidance to $125-$145 billion from $115-$135 billion.
Despite strong earnings growth of 62.4%, shares fell 9.55% over the past month and are down 7.47% year-to-date. The stock trades at $610.26, reflecting a $1.549 trillion market cap, with analysts eyeing a $826.60 consensus target and a potential $910 per share for a $2 trillion valuation.
Investors remain cautious as elevated AI spending pressures margins, despite CEO Mark Zuckerberg’s optimism about delivering “personal superintelligence” to users.