Investors spooked by DeepSeek news impacting AI stocks; Microsoft and Meta beat earnings estimates.

From Zacks Investment Research: 2025-01-30 18:24:14

Investors were spooked by DeepSeek news, causing AI-related stocks to plummet. DeepSeek, a Chinese AI startup, unveiled its R1 model, challenging top AI systems. Microsoft reported adjusted EPS of $3.23 and sales of $69.6 billion, exceeding expectations. Meta Platforms posted EPS of $8.02 and sales of $48.4 billion, also beating estimates. Both companies acknowledged DeepSeek’s impact and maintained CapEx outlooks. Microsoft praised DeepSeek’s innovations and added R1 to Azure AI Foundry. Meta CEO Zuckerberg noted the industry learns from new advances, remaining cautious about infrastructure changes. The market will need time to digest the news.



Read more at Zacks Investment Research: Microsoft & Meta Earnings: Are DeepSeek Assumptions Premature? – January 30, 2025