• 5-day price change for Meta stock: -13%
• $META Stock Price as of Mar. 27: $526
• 52-Week High: $797
• $META Stock Price Target: $863

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It’s been a brutal week for Meta (META) stock. Layoffs, two major court losses, and growing investor skepticism about the company’s AI spending have combined to push shares down sharply — including an 8% drop on Thursday and another 4% drop on Friday.

Meta has dropped by about 13% in the past five days.

On the legal front, juries in two separate trials ruled against Meta this week.

• In New Mexico, the company was ordered to pay $375 million after jurors found it misled users about child safety on its platforms.
• In Los Angeles, Meta and YouTube were found liable for mental health harms caused to a young plaintiff. The financial penalties are small relative to Meta’s $1.5 trillion market cap, but the precedent is not.
• More trials are coming, and legal experts are calling this a turning point for how courts view Big Tech.

Then came the layoffs.

• Meta confirmed hundreds of job cuts across Facebook, Reality Labs, recruiting, sales, and global operations.
• This follows a January round that eliminated over 1,000 jobs at Reality Labs alone.

The company says the cuts are meant to realign teams around its priorities — mainly AI.

The AI spending itself is part of the problem for investors.

Meta plans to spend up to $135 billion on capital expenditures this year.

That’s a staggering number, especially when rivals like OpenAI, Google, and Anthropic still appear to be ahead in AI model capabilities.

Investors are starting to question whether the returns will justify the cost.

See analysts’ growth forecasts and price targets for Meta stock (It’s free) >>>

Meta stock is down 19% this year, and this week made things worse.

The market isn’t just reacting to the legal losses or the layoffs individually — it’s reacting to all of it at once.

The company is spending aggressively, restructuring constantly, and now facing a wave of litigation that could reshape how social media platforms are regulated.

For investors, that’s a lot of uncertainty to price in.

Meta stock still has strong fundamentals.

Ad revenue is growing, engagement is up across its apps, and the Q4 2025 earnings beat was solid.

But with legal risk rising and AI ROI still unproven, Meta stock may stay under pressure until the company can show clearer results from its massive bets.

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Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!