Meta’s NVIDIA AI Push And Data Center Spend Versus Valuation Upside

Simply Wall St

Mon, February 23, 2026 at 6:12 PM GMT+9 3 min read

In this article:

•                                       StockStory Top Pick 
  

  META

  +1.69%

  NVDA

  +1.02%

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Meta Platforms announced a multi year partnership with NVIDIA to deploy NVIDIA CPUs, GPUs, and networking gear across its global AI infrastructure.

The company is launching one of its largest data centers and has started work on a major new AI focused facility in Indiana.

The build out is part of a multi billion dollar AI investment plan that Meta expects to ramp into 2026.

Meta Platforms, NasdaqGS:META, is tying this AI expansion to its core social platforms and emerging products, aiming to support larger scale AI driven services across its apps. The stock last closed at $655.66, with a very large 3 year return and a 5 year return of 156.3%, while its 1 year return shows a 3.8% decline. Short term moves have been mixed, with the share price up 2.5% over the past week and slightly lower, by 0.5%, over the past month.

For you as an investor, the NVIDIA partnership and new data center projects highlight how much capital Meta is committing to AI specific infrastructure rather than incremental upgrades. The scale and timing of this multi year build indicate that AI related spending could remain a central theme for Meta in 2026, with potential implications for its cost base, product roadmap, and its role as a large customer in the AI chip market.

Stay updated on the most important news stories for Meta Platforms by adding it to your watchlist or portfolio. Alternatively, explore our Community to discover new perspectives on Meta Platforms.

NasdaqGS:META Earnings & Revenue Growth as at Feb 2026

📰 Beyond the headline: 0 risks and 3 things going right for Meta Platforms that every investor should see.

Quick Assessment

**✅ Price vs Analyst Target**: At US$655.66, Meta trades about 24% below the consensus price target of US$861.30.

**✅ Simply Wall St Valuation**: Simply Wall St estimates the shares are trading 39.1% below fair value, flagged as undervalued.

**❌ Recent Momentum**: The 30 day return is about 0.5% lower, so the near term trend has been slightly negative.

There is only one way to know the right time to buy, sell or hold Meta Platforms. Head to Simply Wall St’s company report for the latest analysis of Meta Platforms’s fair value.

Key Considerations

📊 The NVIDIA deal and data center build out show Meta committing substantial capital to AI infrastructure that ties directly into its core apps and services.

📊 Watch how AI capex affects free cash flow, any commentary on AI monetisation across Facebook, Instagram and WhatsApp, and whether the P/E of 27.4x stays aligned with earnings progress.

⚠️ The main risk is that heavy AI spending lifts the cost base faster than revenue or profit growth tied to these projects.

 






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Dig Deeper

For the full picture including more risks and rewards, check out the complete Meta Platforms analysis. Alternatively, you can visit the community page for Meta Platforms to see how other investors believe this latest news will impact the company’s narrative.

_ This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned._

Companies discussed in this article include META.

Have feedback on this article? Concerned about the content? Get in touch with us directly._ Alternatively, email editorial-team@simplywallst.com_

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