Meta Q1: Capex Spend Is Actually Good

Summary

  • Meta's recent earnings report shows strong growth prospects in their AI segment through the newly launched Llama 3 AI model.
  • The company's revenue rose YoY to $36.46 billion in Q1 2024 and expects further growth in the next quarter.
  • Despite concerns over high capital expenditures, Meta's investments in AI technologies make them a strong buy for investors seeking exposure to the AI industry.

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Investment Thesis

I believe that Meta's (NASDAQ:META) recent earnings report reveals their growth prospects with their AI segment through the newly launched Llama 3 AI model, in what, I believe, will be later looked at as a ChatGPT

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Analyst’s Disclosure: I/we have a beneficial long position in the shares of META either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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