Meta Platforms saw a dip in shares in 2018 and 2022, potentially signaling a fall in 2026. The company is ramping up spending on data centers and superintelligence. Despite increased spending, investors can take solace in the valuation not being expensive. Shares surged after impressive Q4 2025 results, with 24% revenue growth.

Meta has been on a winning streak, with shares soaring 387% in three years. The stock chart suggests a pullback in 2026. Capital expenditures are set to rise significantly in 2026, emphasizing the company’s focus on AI. Founder Mark Zuckerberg is bullish on AI, aiming for personal superintelligence through initiatives like Meta Compute and Avocado.

Despite increased spending, Meta’s valuation remains attractive with a forward P/E ratio of 24.8. The stock has been on a strong run, but not considered expensive currently. Investors may want to consider buying and holding Meta Platforms stock given its revenue and profit gains. However, caution is advised due to high spending levels.

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Read more at Nasdaq: Will Meta Platforms Stock Plunge in 2026? 1 Warning and 1 Reason to Be Optimistic.