Meta slips post-earnings as AI spending surge spooks investors
$Meta Platforms, Inc.(META)$
$751.67 (+0.03%): Calm bid into earnings; a close >$759 sets up $765–$775
Market Recap (as of Oct 29, 2025):
The stock closed flat at $751.67 in a subdued pre-earnings session, with traders positioning rather than chasing momentum. The day's range ($742.51–$759.16) held just below key resistance.
Note: Significant after-hours volatility is evident, with the price dropping to ~$696.30 (-7%) on notably higher volume, though reported share counts differ across data vendors.
YF shows 18.18M shares vs 11.92M avg, while TV displays ~26.7M (data vendors differ—levels consistent).
With earnings after the bell, traders largely positioned rather than chased, keeping price just under recent highs.
Technical Indicators Analysis:
RSI(14) ~59—constructive, not overbought. MACD has crossed up with a positive histogram; price sits above the EMA20/EMA50 band and is grinding higher from the early-Oct trough.
1–3 week view: sideways-up. A decisive daily close > $759 should unlock $765–$775; failure to hold the EMA band invites a drift back to the mid-$740s.
However, a negative earnings catalyst could accelerate selling pressure, potentially driving the price decisively below the $700 support level.
Support / Resistance:
Support: $690/$700
Resistance: $735/$750/$760
Valuation and Target Range (Updated):
Valuation Context: TTM P/E of 27.3x remains in focus, but the earnings miss and elevated CapEx guide are the dominant drivers.
New Trading Range: The market is digesting the news in a new lower range of $690 – $710.
Bullish Scenario: A close back above $710 would suggest the sell-off has exhausted, opening a path toward $725–$730.
Bearish Scenario: A decisive break below $690 confirms renewed weakness, with the next significant support in the $675–$680 zone.\
News:
Meta Shares Fall on Accelerating AI Spending Despite Record Revenue, Meta Platforms said it would "aggressively" ramp up spending to stay competitive in the artificial-intelligence arms race.
That plan has investors sweating. Goldman Sachs Cuts Meta Stock Price Target to $815, Citing Extended Investment Cycle.
Risk Statement:
Earnings headlines and guidance can gap the stock well beyond technical levels. This is technical commentary only, not investment advice—use strict risk controls.
Data Source: Yahoo Finance & TradingView (daily chart, Oct 29, 2025). Prepared by Tiger Morning Brief | For internal use only.
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