Meta Platforms(US:META) Benzinga·2026-01-07 08:22Core Insights - Altimeter Capital has exited its significant position in Meta Platforms Inc. due to concerns about its current standing in artificial intelligence [1][3] - Founder Brad Gerstner highlighted that Meta is not a market leader in AI and is undergoing a challenging transition to leverage this technology [3] - Altimeter has shifted its investment focus towards infrastructure companies benefiting from the AI boom, such as Nvidia and Taiwan Semiconductor Manufacturing [4] Investment Strategy - Gerstner emphasized the importance of investing in companies with lower multiples and clearer growth catalysts in the current market environment [3] - Altimeter's largest investments are now in the "picks and shovels" of the AI industry, indicating a strategic pivot towards foundational technologies [4] Market Trends - Major tech companies are projected to spend over $500 billion on capital expenditures by 2026 to build data centers, reflecting the scale of the AI supercycle [5] - Nvidia is defended against valuation concerns, with expected earnings growth of 65% this year, suggesting that its current earnings multiple is reasonable [6] Meta Performance - Meta's shares have declined by 8.04% over the last six months but have increased by 6.92% over the past year, indicating mixed performance [7] - The stock's short-term trend remains strong, while medium and long-term trends are weaker, according to Benzinga's Edge Stock Rankings [7]