Meta Stock Price Hits New High—Should You Buy or Hold Now?

Meta stock price hovered near $661 in Friday’s pre-market trade, holding the bulk of this week’s rebound after a sharp tech-sector pullback earlier in February. The NASDAQ-listed shares have swung between $646 and $672 in the past 24 hours, leaving META about 17 % below its August record high of $796 and 38 % above its 52-week low at $480. Why the sudden stability? Investors appear to be digesting two opposing forces: a massive artificial-intelligence spending cycle and looming regulatory risks. AI capex turns the spotlight back on margins Meta told analysts last week it plans to spend $115 billion – $135 billion on capital projects in 2026, mostly to expand data-center capacity and accelerate its “personal super-intelligence” roadmap. Although that total is smaller than Alphabet’s projected $175 billion-plus budget, the figure still implies a double-digit jump over 2025 outlays, raising fresh questions about near-term free-cash-flow compression. Regulatory clouds gather on two continents • United States – A bipartisan Senate proposal would force social platforms to verify advertisers and refund victims of scam ads, adding compliance costs for Meta’s core advertising engine. • India – The country’s Supreme Court will revisit a high-profile case on 9 February that could block WhatsApp from sharing user data with other Meta units, potentially curbing audience targeting across Facebook and Instagram. What the charts say META is wrestling with down-trend resistance near $675, while the 50-day moving average around $642 has emerged as short-term support. A decisive break above $675 would open the door toward the $700 psychological level; failure to hold $642 exposes the mid-January gap at $605. Earnings and catalysts ahead • Q1 2026 results are slated for late April, when Wall Street expects revenue growth near 18 % year on year and EPS above $18. • Management commentary on return-on-investment for AI servers and custom accelerators will be the key swing factor. • Any ruling from India or movement on the U.S. scam-ad legislation could shift sentiment quickly. Bottom line For now, the Meta stock price is stuck between AI-driven optimism and regulatory uncertainty. Traders looking for near-term momentum will watch $675 for a breakout, while long-term investors continue to weigh whether soaring capex can translate into durable earnings growth.