My Advice? Don't Get Distracted By Meta Platforms Stock's Latest Slump

Core Viewpoint - Meta Platforms is experiencing a significant sell-off due to concerns over rising operating expenses outpacing revenue growth, but it remains a strong long-term investment opportunity for growth-focused investors [1][5][15] Financial Performance - Meta's stock fell 15.2% following the Q3 2025 earnings report, with a 1.5% decline in the second half of 2025, contrasting with a 15.9% gain in the S&P 500 and a 24.7% surge in the Nasdaq Composite [1] - Despite increased capital expenditures, Meta has $15.6 billion more in cash and marketable securities than long-term debt, maintaining impressive operating margins of 40% in the recent quarter [8][16] Investment Strategy - The recent sell-off reflects a market demand for focused AI spending, which is considered healthy for overall market dynamics [15] - Meta's strategic investments in AI are yielding positive results, with a 14% growth in ad impressions and a 10% increase in average ad prices due to higher advertiser demand [13][14] Market Position - Meta's price-to-earnings ratio has dropped to 28.2, making it the least expensive among the "Magnificent Seven" tech stocks, indicating a strong value proposition for long-term investors [16][17] - The company is building its own data centers to support AI workloads, demonstrating a commitment to long-term infrastructure development rather than short-term cost-cutting [12]