META stock fell below $600 on Thursday, dropping 3.36% to a low of $597 amid broad tech sector concerns over AI infrastructure spending. The decline followed Alphabet’s Q2 earnings, which saw its stock fall nearly 7% despite strong revenue, after the company announced a $205 billion capex target for 2026. Wedbush Securities has issued a ‘hold’ rating for META, advising against selling and setting a price target of $671. CEO Mark Zuckerberg has expressed concern about the speed of building Meta’s AI infrastructure, warning that a slow pace could trouble the company’s stock prospects.
Meta Platforms (META) stock dipped below the $600 level on Thursday, reaching a day’s low of $597. The equity fell 3.36%, erasing 21 points as tech stocks faced fresh scrutiny over spending on AI infrastructure and data centers.
Alphabet’s Google stock fell nearly 7% despite delivering a robust Q2 earnings report. The company announced an increase in capital expenditure to build its AI systems, raising its target from $180 billion to $205 billion in 2026.
On the heels of this price correction, Wedbush Securities has given META stock a ‘hold’ rating. The firm wrote in a note to clients not to sell the equity, “as the bottom is yet to be met.”
Analyst Ygal Arounian, who rejoined Wedbush as Managing Director of Equity Research this week, gave META a price target of $671. This target would represent a profit of $65 per share if traders take an entry position at the current price of $606.
The projected return on investment of approximately 10% would transform a $1,000 investment into $1,100 if Wedbush’s prediction proves accurate. Meta has been in the spotlight as CEO Mark Zuckerberg expressed concern about the speed of building its AI infrastructure, warning that a continued slow pace would make trouble for its stock prospects inevitable.
