Meta Plans Up to $95 Billion Raise for AI Buildout; Nvidia, AMD, Broadcom to Buy Up to $5 Billion

Meta Platforms (META) said Monday it plans to raise up to $95 billion through common and preferred stock to fund AI investments including data centers, cloud computing and personal superintelligence. Nvidia (NVDA), AMD (AMD) and Broadcom (AVGO) intend to subscribe to up to $5 billion combined of Class A common stock. The company launched a public offering of about $35 billion in common and mandatory convertible preferred stock, including $22.5 billion of Class A shares. It also plans an at-the-market program of up to $60 billion, selling in tranches once non-voting Class C shares begin trading, expected in the first quarter of 2027. Class C shares will be distributed as a stock dividend of one per share, effectively a two-for-one split. Meta has committed roughly $825 billion in future spending, mainly data centers, AI infrastructure and cloud capacity, and raised the low end of its 2026 capital expenditure forecast to $135 billion from $130 billion, keeping the top end at $145 billion. Third-quarter free cash flow turned negative at $2.12 billion, the first negative reading in more than a decade, versus positive $10.63 billion a year earlier. Cash, equivalents and marketable securities totaled $82.45 billion at the end of September, slightly above $80.92 billion in long-term debt. Third-quarter revenue of $64.6 billion beat the $63.37 billion consensus; fourth-quarter revenue is guided to $73 billion-$76 billion. Shares rose as much as 1.6% to $654 premarket Monday and were down 2.7% year to date through Friday.