Meta Platforms (META) shares move 1.5% higher on Friday following Mark Zuckerburg’s forecasts for the company’s 2025 Capex spending.
Before the open, Zuckerburg posted that META is planning to invest $60-65 billion in capex this year while also growing its AI teams significantly.
The post detailed that “This will be a defining year for AI. In 2025, I expect Meta AI will be the leading assistant serving more than 1 billion people, Llama 4 will become the leading state of the art model, and we'll build an AI engineer that will start contributing increasing amounts of code to our R&D efforts.”
Zuckerburg added “To power this, Meta is building a 2GW+ datacenter that is so large it would cover a significant part of Manhattan. We'll bring online ~1GW of compute in '25 and we'll end the year with more than 1.3 million GPUs. We're planning to invest $60-65B in capex this year while also growing our AI teams significantly, and we have the capital to continue investing in the years ahead. This is a massive effort, and over the coming years it will drive our core products and business, unlock historic innovation, and extend American technology leadership. Let's go build!"
Investors reacted positively to the announcement, buying shares on heavier than average volume.
The announcement continues META’s investment into the company’s AI resources following a few years of cost-cutting measures. Zuckerburg’s large investments to develop the Metaverse in 2021 and 2022 was viewed poorly by investors as META shares dropped to their lows in 2023.
Meta Shares have since rallied more than 600% after cuts to that program and a return to focus on Meta’s core businesses.
Today, the stock finds itself in a strong bull market trend. The stock’s 50-day moving average has remained bullish wince July, continuing to support day-to-day buying.
In addition, the stock finds itself breaking above a key price today.
Shares of Meta are currently moving above their top Bollinger Band. That move suggests that shares are entering a bullish volatility surge.
Meta stock saw a similar signal in December and September, sparking short-term rallies of 5% and 11% respectively.
