Meta stock climbs 1.7% after Bill Ackman calls it undervalued
Meta Platforms shares rose 1.7% to $622.81 in morning trading, snapping a five‑session decline. The bounce followed Pershing Square CEO Bill Ackman's CNBC interview, where he highlighted Meta’s roughly $80 billion cash balance and lack of net leverage as support for its AI ambitions. The company recently secured $97.5 billion in planned equity, including a $25 billion common stock offering at $625 per share and a $3 billion investment from NVIDIA. Meta also lifted its 2026 capital‑expenditure outlook to a range of $135 billion‑$145 billion.
Why it matters
The endorsement helped investors overlook short‑term dilution concerns, prompting a technical rebound that lifted the stock above recent lows. The higher capex guidance signals increased spending on AI infrastructure, which could affect cash utilization and future earnings.
Key facts
- 1Meta stock rose 1.7% to $622.81 in morning trading. investing.com
- 2Bill Ackman described Meta as "incredibly undervalued" on CNBC. investing.com
- 3Meta holds approximately $80 billion in cash. investing.com
- 4The company raised $97.5 billion in total planned equity. investing.com
- 5The common stock offering was $25 billion at $625 per share and was five times oversubscribed. tradingpedia.com
- 6NVIDIA invested $3 billion in the equity offering. tradingpedia.com
Summary written by AlphAI AI Desk from 2 of 2 sources. Not investment advice. Figures are as stated by the linked sources.