Microsoft and Meta Platforms Are Negative in 2026. Here's My Favorite One to Buy Now.

Both Microsoft and Meta are down significantly in 2026 despite being major AI hyperscalers. Meta faces investor concerns about its massive AI spending without clear monetization or a breakthrough model, similar to its metaverse losses. Microsoft, however, is executing well with $37 billion in AI annual revenue run rate and a thriving cloud business. The analyst recommends Microsoft as the better buy due to its proven AI strategy, strong cloud segment, and attractive valuation relative to execution risk.