(Bloomberg) — A disappointing earnings report from Meta Platforms Inc. has technology investors on edge with results from some of the stock market’s biggest and most important companies due in the coming days.

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Shares of Facebook’s parent were down as much as 19% in after-hours trading and an exchange-traded fund that tracks the tech-heavy Nasdaq 100 Index fell as much as 1% after Meta forecast weaker-than-expected sales in the current quarter while targeting higher capital expenditures.

“While Meta will employ AI in its work, right now it doesn’t seem to be the biggest beneficiary of AI adoption,” said Jack Ablin, chief investment officer at Cresset Wealth Advisors. “The disappointment on the revenue side is overshadowing any optimism about AI. It’s hard to tell what the benefit will be to users, and while AI could ultimately mean some cost savings down the line, that isn’t visible yet.”

Alphabet Inc., which reports earnings on Thursday along with Microsoft Corp., was among the biggest decliners, falling around 3.3%. Amazon.com Inc., which has results due on Tuesday, dropped more than 2.5%. Social media companies Snap Inc. and Pinterest Inc. each fell more than 6%, while Reddit Inc. slipped 1.8%.

International Business Machines Corp. and software maker ServiceNow Inc. added to the gloom as their shares slumped 8.5% and 5.5%, respectively, after their own earnings reports. Even artificial intelligence juggernaut Nvidia Corp. got hit, with the stock falling as much as 2.1%.

“The ‘see what sticks’ method of years gone by won’t be tolerated by the investor base,” Sophie Lund-Yates, an analyst at Hargreaves Lansdown, wrote in a Wednesday note, adding that while Meta’s resources are vast, they aren’t infinite. “The language around spending plans has become bolder once more, and this could be what’s spooking markets.”

Meta’s earnings raise questions that go beyond its specific business to the heart of the broader AI investment thesis, according to analysts at Lynx Equity Strategies.

“For all of this attention on AI, why isn’t the company able to beat June expectations,” Lynx analysts KC Rajkumar and Jahanara Ahmed said. “Is the monetization of gen AI on track with management’s expectations?”

—With assistance from Katrina Compoli and Ryan Vlastelica.

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