Why is Meta Platforms stock sliding today?

U.S. Treasury yields rose, with the 30-Year yield at 5.51% and the 10-Year at 5.21%, impacting housing stocks like D.R. Horton (DHI), Zillow (Z), and Lennar (LEN). Datadog (DDOG) rose 7%, Akamai (AKAM) secured a $12B AI deal, and Zscaler (ZS) fell 8.6% on AI cybersecurity concerns. Meta (META) dropped 3.4%, while Microsoft (MSFT), Dell (DELL), and Qualcomm (QCOM) saw gains.

A New Mexico jury found Meta Inc. liable for billions in penalties, citing violations of the state's Unfair Practices Act and misconduct related to the 2013 Cambridge Analytica data breach. This is the second legal win for New Mexico against Meta this year, with previous fines totaling $942 million. Meta has not paid the earlier judgments, instead posting a $1.8 billion bond and seeking reconsideration.

Meta's new Muse AI agent has driven a 25% increase in its shares since its launch earlier this month. The company also introduced a $1,299 VR glasses and a Tamagotchi-like keychain called Muse Charm, featuring avatars of its fluffy Muse mascot. Analysts suggest Muse could be a catalyst for AI's shift from business to consumer applications.

A New Mexico jury found Meta Platforms Inc. liable for violating state law by misleading the public about speech and data privacy policies during the Cambridge Analytica scandal. The judge will now determine penalties, with a maximum of $5,000 per violation. The jury found between 1.3 million and 2.1 million violations for most of the 34 statements in question.

A New Mexico jury found Meta Platforms misled consumers regarding data sharing, hate speech, and misinformation policies, following a lawsuit over the Cambridge Analytica scandal. The case focused on statements by Meta and its CEO, with the company denying wrongdoing. The judge will determine penalties. Meta previously settled with other states for $16.7 billion over teen safety concerns.

Meta's CFO announced 8,000 layoffs to offset $145B AI capex, part of a restructuring affecting nearly a quarter of its workforce. Meta raised 2026 capex guidance and redirected employees to AI roles. Q1 revenue was $56.3B, up 33% YoY, with EPS of $10.44. Other hyperscalers like Amazon, Microsoft, and Alphabet are also increasing capex and cutting jobs.