Tech giants Alphabet, Meta Platforms, and Microsoft reported strong quarterly results, highlighting the impact of artificial intelligence on their growth.

Alphabet announced the initiation of a dividend, contributing to a nearly 10% stock surge.

Microsoft's revenue increased by 17% year over year, showcasing strong financial performance.

Meta Platforms' revenue exceeded expectations at $36.46 billion, growing 27% year-over-year, with earnings per share up 114% to $4.71.

Investor concerns over Meta's increased AI-related expenses and higher capital expenditure guidance triggered a sell-off.

Analysts maintain a positive outlook on Meta's long-term growth, driven by AI initiatives and metaverse developments.

Meta is investing in its own AI and silicon technologies, including the launch of Meta AI powered by Llama 3 and global expansion plans.

Apple is poised to announce AI developments at its Worldwide Developer Conference, presenting a potential investment opportunity.

Meta Platforms holds a 'Strong Buy' consensus rating from analysts, with a stock price target suggesting substantial upside potential.