Wells Fargo: “Compute resale can lift $META 2027 EPS by 16.3%.” To be honest, I think $WFC is a bit optimistic on the compute price. Their assumption is based on the latest deals Anthropic signed with $GOOG and $SPCX but capacity was too strained at that time. Even if demand relaxes a bit and Revenue/GW declines to $10 billion, which is standard for neoclouds, it can still lift $META 2027 EPS by 8-10%. More importantly, it’ll show the market that $META can make profitable use of its compute outside its internal AI efforts, which will likely trigger a re-rating.
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