Meta's sudden stock rebound shows investors endorsing its AI spending plans

9:00 AM · July 15, 2026

Meta has gone from a market afterthought to one of its hottest stocks in just two weeks, according to Bloomberg, with shares up 17 percent in July and among the best performers in the S&P 500 Index, a sharp turnaround from an 11 percent decline in June. Investors appear to be responding positively to what the company is now saying about its AI plans, including a commitment to double its computing power to 14 gigawatts next year and expectations that its custom AI chip will begin production in September. An analyst note reviewed by Bloomberg pointed to an internal Meta memo suggesting the company can expand computing capacity more efficiently than previously estimated, and Meta has separately raised its 2026 capital expenditure guidance to a range of 125 billion to 145 billion dollars, about 50 billion dollars more than the prior year. Meta also recently released Muse Spark 1.1, its first paid AI model available through a new API platform, adding a commercial product to a spending story that had, until recently, worried investors more than it reassured them.