Disappointing Meta forecast pulls down tech peers in extended trade

By Thomson Reuters Apr 24, 2024 | 4:54 PM

By Stephen Culp

NEW YORK (Reuters) – Disappointing forecasts from Facebook parent Meta Platforms has proven contagious, sparking a sell-off in tech and tech-related stocks in after-hours trading.

Meta said it expects increased spending on AI technology and lower revenues in the current quarter, sending its stock down as much as 13% in extended trading.

Amazon.com Alphabet, Nvidia and Microsoft were off 2% to 3%.

Social media peer Snap slid more than 6%.

Meta’s results come after last week’s announcement that it was enhancing its AI assistant’s presence across its suite of apps.

(Reporting by Stephen Culp; Editing by Marguerita Choy)