【Week 4】Continue to pick up Meta at cheap prices!

#My Portfolio Health Check

Following the landmark US court ruling where Meta was found liable for designing addictive platform features such as infinite scroll and causing mental health issues to users, traders have been selling off Meta due to concerns of stricter regulations on social media platforms. Nevertheless, Meta also reported higher than expected 2026 AI Capex, leading to more short selling pressure on the stock. Wall Street believes that at this current stage of AI development, investors should be seeing the ROI on AI spending and not just only increasing expenditure without significant returns. Therefore, money has been rotating into other sectors like memory stocks in hopes of better profitability. However, Meta's recent earnings seem to be suggesting otherwise. Even with huge Capex in 2025, Meta continued to generate more profits and revenue. More often than not, companies usually do not even come close to the Capex amount that they declare for the fiscal year. Meta continues to perform excellently, but the stock price does not justify that. It is currently trading at relatively low forward P/E and is similar to the Google situation back in 2025. That is why I am taking the opportunity to accumulate more now. @Bridge Buzz SG