Oracle capex to peak in FY28, or Jun 2027–May 2028.
Following a period of peak capex in FY27-FY28, capital expenditures are expected to step-down in FY29.
– Oracle Investor Day Oct. 28, 2026
MSFT capex missed. Microsoft guided capex for next q is $50bn vs expectation of $53bn, while reported capex for current quarter is $39bn vs expected $46bn.
And MSFT mentioned higher return on capex in future.
we continue to improve the efficiencies of our infrastructure, each dollar of CapEx has the potential to support more revenue and higher returns over time
– Microsoft Fiscal 2027 first quarter earnings call
Sounds to me that capex efficiency is bottoming, which could mean price appreciation in hardware is peaking.
Google stock didn’t do well with higher capex comments in FY2027, although stock is also under pressure with Google ads, which is under threat from AI.