Meta Platforms stock slumped due to delayed product rollout and struggles with AI model Behemoth

From Nasdaq: 2025-05-16 18:03:00

Meta Platforms (NASDAQ: META) saw a 0.6% price drop as investors reacted to news of a delayed product rollout. The S&P 500 index closed higher on the same day. The Wall Street Journal reported that Meta is struggling to improve its flagship AI model, Behemoth, leading to delays in the launch originally set for April.

The company’s CEO, Mark Zuckerberg, has expressed enthusiasm for AI’s potential in enhancing social media experiences. While Meta has not officially commented on the delays, the company continues to thrive with its existing social media platforms. Investors are advised to consider the long-term benefits of perfecting new technologies rather than rushing their introduction.

The Motley Fool Stock Advisor team did not include Meta Platforms in their list of the 10 best stocks to buy right now. They highlight past recommendations like Netflix and Nvidia, which have shown significant returns. Stock Advisor’s total average return of 967% outperforms the S&P 500’s 171%. For more insights and recommendations, investors can join Stock Advisor to access the latest top 10 list.

Randi Zuckerberg, former director of market development for Facebook and sister to Mark Zuckerberg, serves on The Motley Fool’s board of directors. Author Eric Volkman has no positions in the mentioned stocks. The Motley Fool holds positions in and recommends Meta Platforms, with a disclosure policy in place.



Read more at Nasdaq: Why Meta Platforms Stock Slumped on Discouraging AI Speculation Friday