Mega-Cap Tech's Buyback Binge vs. Capex Surge: The $80B Collision Course

2026-11-02, FP360 — Mega-cap tech has deployed a record $80 billion into share buybacks in Q4 2026 even as their capex commitments hit $250 billion, forcing a critical trade-off between shareholder returns and AI infrastructure investment. With cash flows still robust but budget math tight, investors are repricing growth trajectories as the opportunity cost of buybacks becomes apparent.

The Signal: Tech's buyback-fueled EPS boost is masking a slowdown in AI-driven revenue growth, making the sector vulnerable to a capex-driven earnings miss.

Originally published on FINPULSE 360