Meta faces lawsuits from minors and AI investment, causing stock price fluctuations to attract attention

Economic Observer, February 12, 2026 — Meta is facing a lawsuit over underage internet addiction, with a California court holding a hearing. The lawsuit alleges that the platform’s design is addictive and could challenge the legal immunity of internet companies. The outcome may have a profound impact on the industry. On the same day, Ernst & Young issued a rare warning regarding Meta’s $27 billion data center project, marking it as a “Key Audit Matter.” Although the final accounting treatment was approved, the warning highlights the project’s complexity and risks, drawing attention from investors and legislators. Additionally, Meta announced an investment of over $10 billion to build a data center campus in Indiana to support AI infrastructure, with an expected capacity of 1 gigawatt.

Recent Stock Performance

As of the close on February 11, 2026, Meta’s stock price was $668.69, down 0.30% for the day, with a total decline of 0.23% over the past five days. After-hours trading on February 11 saw the stock rise to $713.00, up 6.62%, mainly boosted by news of AI investments. Over the past seven trading days (February 5–11), the stock experienced significant volatility, with a range of 22.43%, reaching a high of $744.00 on January 29, reflecting market divided opinions on regulation and AI investments.

Institutional Views

Guotou Securities issued a report on February 5, 2026, maintaining a “Buy” rating on Meta and raising the target price to $833, driven by better-than-expected Q4 results and growth in AI-driven advertising. The report noted that Meta’s Q1 revenue guidance is strong (up 26%-34% year-over-year), with capital expenditures increased to $115–135 billion, but warned of macroeconomic and regulatory risks.

The above information is compiled from public sources and does not constitute investment advice.