Shawn Burns is Solve the Riddle

  META FH26 Note My thoughts There is little doubt that Meta is a complex story, and markets do not like complex stories. In addition to this, markets usually do not price in a derisked scenario for a stock if capex is still growing strongly; it will wait for signs of an inflexion in capex growth or clearly strong returns on that capex, and we are not seeing that yet here. I like to think of Meta as three stories in one, the first being the traditional business infused with AI, which is growing phenomenally well, perhaps the best example of what AI can achieve in a traditional business. The second, which has some overlap with the first, is Meta Superlabs' goals and developments. MSL will be the driver of new products and expansions for Meta. That business is heavy on spend and generating little revenue so far, but promises a large payoff if successful. The last business is Reality Labs, which continues to generate losses; Meta signalled a slowdown in losses, but they remain l...