# Meta's AI Push Drives Investor Confidence

> Investor keeps buying Meta despite AI costs as ad engine grows
- Title: Meta's AI Push Drives Investor Confidence · 24/7 Wall St.
- Summary: Investor keeps buying Meta despite AI costs as ad engine grows Meta's ad business continues compounding while AI investments fund future growth
- Keywords: meta, ad engine, ai infrastructure, reality labs, free cash flow, q2 2026, mark zuckerberg, facebook, instagram, whatsapp, messenger, threads
- Source: 24/7 Wall St. — https://247wallst.com/investing/2026/09/21/i-understand-metas-problems-but-im-going-to-keep-on-accumulating-for-one-reason
- Author: Alex Sirois
- Published: 2026-09-21T15:00:38+00:00
- Read time: 1 min
- Topics: meta, ad engine, ai infrastructure, reality labs, free cash flow, q2 2026, mark zuckerberg, facebook, instagram, whatsapp, messenger, threads
## Why I keep buying Meta
The $784 million Q2 2026 free cash flow didn't scare me despite market reactions
## Ad Engine Still Compounding
Q2 revenue hit $60.8 billion with 27.96% year over year growth and 14% ad impressions increase
## Strong Financials
Meta runs 82% gross margin and 30.24% return on equity with a solid balance sheet
## AI Investment Risk
Reality Labs lost $19.2 billion in 2025 with Q1 2026 operating loss of $4.03 billion
## Why Meta Over Alphabet
Meta's 30.24% ROE beats Alphabet's 35.7% despite Alphabet's cheaper valuation and higher growth
## The Math Behind It
Family of Apps cash flow of $115.8 billion funds the AI experiment with Zuckerberg controlling the outcome
## Key takeaway

Meta's ad business continues compounding while AI investments fund future growth