Meta Loses $400 Billion, Auctions More Stock, But Analysts Still See 1.4x Upside

Meta Platforms has shed nearly $400 billion in market value since late September. On Monday, the Facebook and Instagram owner launched a $35 billion stock sale to pay for its artificial intelligence (AI) build-out. New shares spread Meta’s future profits across more owners, shrinking each existing holder’s slice. Yet Wall Street analysts still rate the stock a buy, with an average target about 1.4 times the current price. Why Meta Is Selling Stock After a $400 Billion Drop Meta spent $34.9 billion on data centers, chips, and other equipment in the third quarter. That pushed free cash flow, the cash left after those costs, to negative $2.12 billion, according to its results . A year earlier, it was positive $10.6 billion.

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