Jim Cramer Says The President Trump’s One Big Beautiful Bill Act “Led to a Colossal Earnings Miss” for Meta

Meta Platforms, Inc. (NASDAQ:META) is one of the stocks Jim Cramer recently discussed. Cramer discussed the market’s reaction to the company’s earnings, as he stated:

“And Meta, wasn’t it just a glorified advertising site? Well, they embraced AI like none other, spending a fortune… Now, the one that is trickiest is Meta. Even though the revenue was much better than expected, their earnings took a huge temporary hit from the president’s One Big Beautiful Bill Act, led to a colossal earnings miss. But according to Meta, this is a one-time thing, and their tax bill will be a heck of a lot lower. If not for the one-time hit, well, they would’ve earned $7 and 25 cents per share.

That’s much better than $6 and 72 cents that Wall Street was looking for. At the same time, they raised their full-year revenue forecast, but they also raised their full-year capital expenditure forecast by even more… Therefore, not as good as what Google did. They’re spending more than what Google did, and that’s what people are thinking about… I’ve gotta tell you, if you throw in the fact that the stock was up 28% going into the quarter, and you can’t understand why the stock got clobbered after hours, it was up too much. I think it’s a reaction.”

Photo by Alexander Shatov on Unsplash

Meta Platforms, Inc. (NASDAQ:META) develops products that enable people to connect and communicate through social media, messaging apps, and virtual, augmented, and mixed reality devices. The company’s products include Facebook, Instagram, Messenger, Threads, WhatsApp, and reality hardware and software products.

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Disclosure: None. This article is originally published at Insider Monkey.