Benzinga Bulls and Bears: SpaceX, Meta, Netflix

Benzinga examined the prospects for many investors’ favorite stocks over the last week — here’s a look at some of our top stories.

U.S. stocks ended a volatile week mixed as investors shifted away from technology shares and toward defensive sectors amid growing concerns about the cost of artificial intelligence investments. The S&P 500 fell 0.5% for the week, while the Nasdaq Composite declined 0.7%. The Dow Jones Industrial Average gained 0.4%, extending its weekly winning streak to three weeks. Consumer staples led the shift as rising energy prices and persistent inflation concerns added to market uncertainty.

Concerns about AI spending and financing dominated corporate news. Meta Platforms Inc. (NASDAQ:META)/a> shares dropped nearly 7% Thursday after the company reported negative free cash flow of $2.12 billion for the third quarter and raised its 2026 capital-spending outlook, renewing questions about whether massive AI investments will generate adequate returns. Chipmakers also suffered, with the Philadelphia Semiconductor Index falling 6.7% Thursday as investors reassessed the outlook for AI infrastructure demand. General Motors Co. (NYSE:GM) fell more than 10% for the week despite beating earnings expectations, as investors focused on higher future costs and a cautious profit outlook.

Investors are now preparing for a pivotal week featuring the Federal Reserve’s interest-rate decision and earnings from major technology companies. Markets largely expect the Fed to hold rates steady, although persistent inflation and elevated oil prices could complicate its outlook for the remainder of the year.

Benzinga provides daily reports on the stocks most popular with investors. Here are a few of this past week’s most bullish and bearish posts that are worth another look.

The Bulls

SpaceX Delivers Q3 Double Beat as AI Revenue Soars, by Adam Eckert, reports that Space Exploration Technologies Corp. (NASDAQ:SPCX) beat Wall Street expectations for both revenue and earnings in the third quarter, as its artificial intelligence business emerged as the company’s biggest growth driver. SpaceX reported revenue of $14.58 billion, up 161% year over year and above analyst estimates of $12.74 billion, while earnings reached 35 cents per share, topping expectations of 12 cents. Its Super Intelligence segment, which includes AI infrastructure and services, generated $7.6 billion in revenue, soaring 830% from a year earlier. Connectivity revenue rose 69% to $5.2 billion, supported by Starlink’s expansion to 13.6 million subscribers, while its space business brought in $1.8 billion.

Meta Posts Q3 Double Beat: ‘We’re Seeing Velocity Across the Board’, by Adam Eckert, reports that Meta Platforms Inc. (NASDAQ:META) beat Wall Street expectations for both revenue and adjusted earnings in the third quarter, driven by strong advertising performance and growing investments in artificial intelligence. Revenue rose 26% year over year to $64.6 billion, topping estimates of $63.37 billion, while adjusted earnings reached $7.40 per share, above forecasts of $5.74. Ad impressions increased 10% and the average price per ad climbed 14%, while daily active users across Meta’s apps grew 3%. CEO Mark Zuckerberg said the company’s AI initiatives, including its Muse and Muse Wonder models, marked major milestones. Meta forecast fourth-quarter revenue of $73 billion to $76 billion, broadly ahead of analyst expectations at the midpoint. However, it raised its 2026 expense outlook to $175 billion-$179 billion, including a $9.9 billion legal charge, and projected capital spending of $135 billion-$145 billion as it continues investing heavily in AI.

QuantumScape Stock Rallies on Narrower Q3 Losses, Commercial-Scale Production Plans, by Erica Kollmann, reports that QuantumScape Corp. (NASDAQ:QS) shares climbed after the solid-state battery developer reported a narrower-than-expected third-quarter loss and outlined plans to expand production. The company posted a loss of 14 cents per share, beating analyst expectations for a loss of 17 cents. QuantumScape also announced plans for a 100-megawatt-hour production line designed to serve emerging demand for solid-state batteries in AI data centers, aerospace and defense.

For additional bullish calls of the past week, check out the following:

Bloom Energy Beats Q3 Estimates, Raises FY26 Outlook

Kinder Morgan Beats Q3 Estimates, Shares Rise

Walmart’s Best Month Since 1999 Leads a Record Staples Rally: Is This a Warning Sign?

The Bears

Netflix Stock Hits 2-Year Lows: Dan Ives Says Streamer Cut ‘Two of the Numbers That Matter Most’, by Chris Katje, reports that Netflix Inc. (NASDAQ:NFLX) shares fell to their lowest levels since August 2024 after the streaming giant’s third-quarter results and weaker outlook disappointed investors. Yorkville Securities analyst Dan Ives maintained an In-Line rating with a $75 price target, saying Netflix lowered two key figures: its implied full-year revenue outlook to $51.1 billion and its 2026 advertising revenue forecast from $3 billion to $2.7 billion. The revised ad target still represents 80% year-over-year growth, but raised concerns about whether advertising and subscriber growth can sustain momentum as the benefit of price increases fades.

‘CoreWeave Is the Canary in the Coal Mine’: Expert Warns More AI Debt Will Slide into Distress, by Erica Kollmann, reports that CoreWeave Inc. (NASDAQ:CRWV) is emerging as a warning sign for the debt-fueled AI boom, with credit expert Max Frumes warning that more AI-related borrowing could fall into distressed territory. Frumes, global head of distressed and leveraged finance at 9fin, said rising financing costs and increased lender scrutiny could reshape how AI infrastructure projects are funded. CoreWeave’s 2031 bond yields climbed above 16%, a level associated with financial distress, while the cost of insuring its debt against default surged above 1,000 basis points. The company has accumulated more than $51 billion in debt and obligations to finance its expansion.

AMD Stock Drops 7% in Chip Sell-Off — Here’s Why, by Anusuya Lahiri, reports that Advanced Micro Devices Inc. (NASDAQ:AMD) shares fell about 7% on Thursday as supply-chain concerns and broader selling across semiconductor stocks weighed on investor sentiment. Chipmaking equipment supplier Lam Research Corp. (NASDAQ:LRCX) warned that near-term supply constraints could push some shipments from the December quarter into March, while its revenue forecast of $8.2 billion to $9 billion came in around Wall Street expectations. Lam also said China accounted for 35% of its September-quarter revenue, up from 26% in June, but expected that contribution to decline significantly in the following quarter.

For more bearish takes, be sure to see these posts:

Ken Griffin Calls AI a Bubble After Citadel Bought the Dip

Lam Research Stock Slips After Narrow Q1 Earnings Beat

Why Is IREN Stock Falling on Thursday?

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Image created using artificial intelligence via Midjourney.