Meta's AI Spending Leads to 91% Free Cash Flow Collapse, Stock Drops

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31 July 2026 at 1:27 am

Meta's AI Spending Leads to 91% Free Cash Flow Collapse, Stock Drops

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Summary

Meta's significant investment in AI compute infrastructure has led to a 91% collapse in its free cash flow to $784 million in the second quarter, causing its stock to drop 9% premarket.

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