Meta Platforms Inc.'s massive spending to support its artificial intelligence ambitions has reminded some investors of the large-scale metaverse expenditures that severely impacted its stock price years ago.

The Facebook parent company reported better-than-expected key metrics in its latest earnings release. However, Wall Street focused on its capital expenditures, which the company stated could reach $72 billion this year and "increase meaningfully" by 2026. During the earnings call, CEO Mark Zuckerberg downplayed concerns about potential overspending on projects like the Superintelligence Lab, calling it "the right strategy to build capacity ahead of demand."

Meta's stock is now experiencing its worst four-day decline since November 2022, dropping nearly 17% and erasing $307 billion in market value. Notably, the 2022 sell-off was similarly triggered by investor skepticism over its spending plans, ultimately causing the stock to plunge 77% from its 2021 peak.

"This feels like Meta repeating history—overcommitting to speculative projects or areas without clear return expectations," said Tiffany Wade, Senior Portfolio Manager at Columbia Threadneedle Investments. "Investors are losing patience."

Despite the recent downturn, Meta's shares remain up 7.5% year-to-date. Prior to this, heavy investments in AI were not viewed negatively. In fact, companies were rewarded for demonstrating competitiveness in the evolving tech landscape.

Zuckerberg has long argued that AI improves ad targeting and user engagement. But as spending continues to rise without clearer signs of returns, investors are growing increasingly uneasy about these expenditures.