Meta Platforms, Inc. (META) Has To Raise CapEx, Says Jim Cramer

We recently published 10 Stocks On Jim Cramer’s Mind As He Discussed A “Weird Number”. Meta Platforms, Inc. (NASDAQ:META) is one of the stocks Jim Cramer recently discussed.

Meta Platforms, Inc. (NASDAQ:META)’s shares have gained 18.8% year-to-date as the firm has benefited from AI-bullishness, the strength of the digital advertising market, and cost-cutting initiatives. Cramer’s previous remarks about the firm have posited that it needs to step up its AI development efforts to catch up with rivals OpenAI, Google, and Musk’s xAI. He also believes that Meta Platforms, Inc. (NASDAQ:META) needs to improve its messaging about AI capital expenditures and explain how it will help improve product quality instead of building large-scale infrastructure. This time, he commented on whether Meta Platforms, Inc. (NASDAQ:META)  would increase its capital expenditure once again:

“They have to because it turns out that what is needed is speed. That’s why by the way Jensen likes quantum. What’s needed is speed. And Carl, I go on all these all the time, and some of them are just so eager to please, they’ll say, I’ll say tell me how about that is quarter was, and they’ll like define how bad this is. I think a lot of this is, they don’t have the ability to be able to scrub as much as they like. And that’s the weakness with these systems. You need to go faster. If they go faster, they can include more. They need to make more deals. They just, they scrape the wrong stuff. Scrape The Journal. Jesus, scrape The Times.”

In his previous comments, Cramer discussed Meta Platforms, Inc. (NASDAQ:META)’s upcoming earnings:

“As I said earlier, this is a pivotal week, the kind of week where it feels like the biggest tech companies on earth are trying to work me to death. For instance, we’ve got Meta and Microsoft, two of the Magnificent Seven, reporting at the exact same time. Both stocks have been giving off signs of better-than-expected numbers. Call me a believer… Meta, that’s all about Mark Zuckerberg, and I think he’s crushing it with this Instagram advertising. Does he start charging for WhatsApp? Hey, what a windfall that would be.”

While we acknowledge the potential of META as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.