daz999999999
10-29 11:12
$META$  


Micron's gross margin exploded to 85% on 346% revenue growth while Apple raised MacBook and iPad prices up to 54% just to protect its margins.

Micron's forward P/E of 7 versus Meta's and Apple's 32x makes Micron the cheaper bet despite its triple-digit revenue growth advantage.

Mehrotra sold 94,078 shares into the rally, a cautionary insider signal even as Micron guides Q4 revenue to $50 billion.


Meta's Ad Engine Is Working—Why Is Cash Flow Going Backward?
Meta fell 6.98% as investors weighed strong revenue against AI spending. Revenue rose 26% to $64.60B, beating estimates; Q4 guidance also edged above consensus. Ad impressions and pricing each grew 11%, but free cash flow was negative $6.22B against $34.91B in capex, with higher spending expected in 2027. Bulls cite ad strength; bears see investment outpacing cash generation. Google Search and Amazon cloud are benchmarks. What would show ad cash flow is catching up?
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Comments

  • Kelvin 梁
    10-29 12:46
    Kelvin 梁
    Conditional conclusion: Meta’s advertising engine can finance most of the AI build-out, but at the current 2026 spending plan it is unlikely to fully offset capital expenditure with internally generated free cash flow unless Q4 operating cash flow is unusually strong. The cash-flow question is therefore not solvency; it is the near-term trade-off between AI infrastructure, buybacks/dividends, and free-cash-flow generation.


    Why the core ad business remains capable


    Meta Platforms (META)
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    generated $64.6 billion of revenue in 2026Q3 , up 26.1% YoY , and beat revenue consensus by $1.23 billion . Its Family of Apps generated $64.2 billion , or 99.3% of quarterly revenue—effectively the ad-led cash engine.
    Through 2026Q3, revenue was $181.7 billion , up 28.8% YoY , while cash flow from operations was $96.9 billion , up 21.7% YoY . This indicates that the advertising platform is still scaling operating cash generation despite much heavier infrastructure costs.
    Full-year 2026 reven
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