BIG TECH JUST GOT A REALITY CHECK
AI SPENDING IS NO LONGER ENOUGH.
Microsoft made history with a $450B one-day jump.
Meta lost 10% as free cash flow plunged 91%.
Apple posted record revenue, but rising memory costs dragged shares lower.
Amazon’s AWS growth impressed, but its free cash flow turned negative.
AND THEN KOREA CRACKED
The KOSPI plunged 40% from its June peak, wiping out roughly $2T in market value.
THE BIG TAKEAWAY
Wall Street is no longer rewarding companies simply for spending more on AI.
The real question now is: WHO CAN PROVE AI SPENDING IS PAYING OFF?
To read shorts, click: Vested Shorts: Biggest one-day gain by any stock ever, Korea lost $2T in a month, and a big tech earnings paradox: Microsoft, Meta, Apple, Amazon