Tech Giants Face Bumpy Ride on Wall Street

Meta's Massive Drop

Meta saw its shares plummet by more than 12% in a single day, marking one of the company's largest losses in years. The drastic decline followed the revelation of a $16 billion tax charge, which significantly reduced their quarterly earnings, falling short of Wall Street's expectations.

Microsoft's Mixed Results

Microsoft experienced a 2.2% share drop, despite reporting better-than-expected earnings. The company achieved $4.13 per share and generated $77.6 billion in revenue. However, investors were unsettled by a $3.1 billion loss from their investment in OpenAI, amounting to $0.41 per share.

Alphabet's Triumph

In contrast, Alphabet enjoyed a 2.7% share increase, driven by their first-ever quarterly revenue surpassing $100 billion. The tech giant reported an impressive $102.3 billion, exceeding market projections.

Upcoming Earnings Reports

• Apple is anticipated to report earnings of $1.78 per share and revenue of $102.2 billion.
• Amazon is expected to deliver $1.57 per share and revenue of $177.9 billion.
• Nvidia will conclude the earnings season on November 19.

Meta's AI Ambitions

Meta has been aggressively investing in AI, pouring $14.3 billion into the AI startup Scale AI. They also appointed the CEO of Scale AI to spearhead their AI initiatives. Meta's strategic moves include a six-year, $10 billion deal with Google signed in August, underscoring their commitment to building a robust AI infrastructure.