Stock Market Today, Oct. 27: Meta Raises Largest-Ever Equity Offering to Nearly $98 Billion to Fund AI Infrastructure Bet

Meta Platforms (META) closed down 1.65% on Oct. 27 even after raising $97.5 billion in its largest-ever equity offering, a deal oversubscribed fivefold. The market's message: demand for the paper was not the issue; the spending it funds is.

The proceeds back AI infrastructure investment projected at $135-145 billion in 2026. That figure now sits at the center of the debate, with investors weighing the scale of capital expenditures against uncertain future returns.

The timing is notable. Meta reported strong Q3 results, with revenue up 26%, yet the stock still slid. Interpretation: when robust growth fails to lift shares, positioning is likely focused on the cost side of the ledger, not the top line.

Suppliers got a boost from the deal's structure. Nvidia (NVDA) and AMD (AMD) pledged $4 billion in investments tied to the raise. That is a concrete link between Meta's capital program and two of the chip names traders watch most closely, and it can be read as a vote of confidence from the companies positioned to benefit from the buildout.

The fivefold oversubscription signals deep institutional appetite for funding AI scale. The 1.65% drop signals that appetite for the equity itself, at current spending levels, is more guarded.