What to Expect From Big Tech’s Earnings This Week

Get ready. We’ve got a slew of big tech earnings reports this week—from Meta Platforms, Microsoft, Amazon and Apple—that will pick up from Google’s report last week on the state of AI spending and business. PayPal is also reporting on Tuesday, so we should get some insight into the payment firm’s attitude toward Stripe’s recent takeover offer with private equity backing, about which PayPal has so far been conspicuously silent.

But the main event will be the big tech earnings, starting with Meta and Microsoft on Wednesday. The two companies have both been under more pressure on Wall Street this year than other leading tech firms—as of Friday, shares of Meta were down 9.8% year to date, while Microsoft stock was down 21%. Meta is out of favor because of its humongous AI spending with no clear way of getting a return, while Microsoft’s prospects of keeping its giant software business humming in the face of AI alternatives worry investors.