US markets showed mixed signals as two major tech firms outlined large AI investments this week. Shares moved after the companies disclosed capital plans tied to AI infrastructure during fourth-quarter reports and statements.
Amazon projected about $200 billion in capital expenditures for 2026 to expand AI infrastructure. “With such strong demand for our existing offerings and seminal opportunities like AI, chips, robotics, and low earth orbit satellites, we expect to invest about $200 billion in capital expenditures across Amazon in 2026 and anticipate strong long-term return on invested capital,” said in a statement (Ed. note: the stock fell about 10% after the announcement).
Meta announced roughly $135 billion for AI infrastructure as it scales machine learning systems. “It’s an unusual opportunity. I passionately believe every customer experience we have today will be reinvented by AI… We’re going to invest aggressively,” added.
According to TipRanks, the average 12-month price target for Amazon is about $298, with a high of $340 and a low of $230. TipRanks lists an average target near $859 for Meta, with a high of $1.14K and a low of $700.
Both companies said they expect long-term returns from these investments. Investors remain focused on near-term costs and execution risks tied to the AI build-out.
