Meta Platforms downgraded to Hold from Buy at Erste Group

Erste Group downgraded Meta Platforms (META) to Hold from Buy. The company anticipates a significant acceleration in 2026 spending to support its AI ambitions and the growth in capital expenditure is expected to be “significantly higher” in 2026 than in 2025, notes the analyst, who sees limited upside potential at the current valuation level given the need for infrastructure capacity, including computing and cloud costs, driving investment.