Overview
- Shares have fallen roughly 28% since the Feb. 26 report after Q1 revenue guidance of $1.9 billion to $2.0 billion trailed the $2.29 billion consensus.
- Management raised 2026 capital spending to $30 billion–$35 billion, tying the buildout to contracted demand and signaling Q1 as the margin trough with sequential improvement expected.
- The contracted backlog reached $66.8 billion, up nearly fourfold year over year and including an estimated $5 billion agreement with Meta.
- Q4 revenue grew 110% to $1.57 billion, but the net loss widened to $284 million and quarterly interest expense rose to $388 million.
- Analysts largely trimmed price targets following the update, with JPMorgan, Mizuho and Stifel cutting estimates, while Citi lowered its target and EPS forecasts even as some firms maintained bullish stances.