Two AI earnings reports on the same night: one heaven, one hell.
Microsoft (+9%): Azure up 43%, Copilot has 30 million users, order backlog $678 billion. Capex $41 billion up 70%, free cash flow $19.6 billion down 23%.
Meta (-8%): Net profit $15.8 billion down 14%, expenses up 55%. Capex $31.1 billion up 83%, free cash flow dropped from $8.5 billion to $780 million, down 91%. Profit margin fell from 43% to 31%.
The Fed's three hawks supported rate hikes, Brent crude oil rose 7% to $87.6, and the Nasdaq Composite (费半) plunged another 5.3%.
AI valuations are shifting from an "imagination premium" to a "realization discount".
The copyright of this article belongs to the original author/organization.
The views expressed herein are solely those of the author and do not reflect the stance of the platform. The content is intended for investment reference purposes only and shall not be considered as investment advice. Please contact us if you have any questions or suggestions regarding the content services provided by the platform.
