Meta Platforms came into this Q3 2026 report on a high, with the stock up over the past three months and trading at a premium P/E to its broader industry. The headline update then hit the market hard. Shares dropped about 7% in the first session after results.

The numbers tell a more nuanced story. Revenue reached US$64.6b while net income landed at US$9.9b, leaving basic earnings per share at US$3.86 after a heavy legal charge and rising artificial intelligence infrastructure costs. That gap between rapid top line momentum and squeezed profitability is what investors now have to price.

Love Meta Platforms’ scale and revenue momentum but uneasy about profit pressure from legal costs and AI spending? Take a look at the 38 profitable AI…