Oppenheimer Warns Meta AI Infrastructure Expenses Could Prompt EPS Cuts and Equity Raise

Oppenheimer warned that Meta Platforms' escalating artificial intelligence infrastructure costs could spark downward revisions to consensus earnings-per-share estimates and potentially require an equity capital raise. This follows sharp divergence across Wall Street ahead of Meta's third-quarter earnings on October 21. Meta shares previously fell around 3% as Goldman Sachs cut its price target to $762, citing rising 2027 expenses. Meanwhile, Guggenheim and UBS lifted price targets to $850 and $884 respectively, citing commercial AI agent growth, even as Guggenheim increased its 2027 capital spending forecast to $225 billion.