Meta AI Spending Prompts PT Cut to $720 as Wisconsin Data Center Plan Advances

Overview

• Cantor Fitzgerald reduced Meta’s price target to $720 from $830 on November 19 and kept an Overweight rating.
• The firm now models FY26 total operating expenses at roughly $152 billion, about 30% higher year over year, driven by depreciation, infrastructure operations and recent AI hiring.
• Meta has signed cloud agreements exceeding $40 billion that Cantor estimates could add around $4 billion to FY26 costs.
• Meta selected Mortenson to build a 700,000‑square‑foot, AI‑optimized data center campus in Beaver Dam, Wisconsin, a $1 billion project expected to begin operations in 2027.
• The company committed about $200 million to related energy infrastructure, with construction projected to peak at over 1,000 jobs and support roughly 100 permanent roles once open.