KeyBanc raised its price target on Meta Platforms to $900 from $780 while keeping an Overweight rating, pointing to momentum around the Muse AI assistant. The firm also lifted its 2027 and 2028 revenue and earnings forecasts for the company.
KeyBanc raised its price target on Meta Platforms to $900 from $780, maintaining its Overweight rating. The firm cited Meta Muse's momentum as reinforcing its view that sentiment around consumer AI is poised to improve, and that Meta has multiple paths to drive revenue growth.
The stock currently trades at $736.60, giving it a market capitalization of $1.88 trillion and a price-to-earnings ratio of 27.83. According to InvestingPro analysis, Meta appears overvalued relative to its Fair Value estimate, placing it among companies on the Most Overvalued list.
KeyBanc lifts revenue and earnings forecasts
KeyBanc noted it will watch Meta Connect, which kicks off September 23-24, for signs of how Meta is building developer relationships and creating monetization paths. The firm raised its 2027 revenue forecast for Meta to $313.8 billion, representing 23% year-over-year growth, and its 2028 forecast to $378.7 billion, representing 21% growth. Those projections build on Meta's recent performance, with revenue reaching $228.25 billion over the last twelve months and growth accelerating to 27.65%. The new 2027 and 2028 revenue forecasts sit 3% and 4% above consensus, respectively.
KeyBanc's earnings-per-share forecast now stands at $35.09 for 2027, about 4% above Street estimates, and $40.50 for 2028, 1% above Street estimates. The new $900 price target is based on a 22.2 times 2028 estimated price-to-earnings ratio.
Settlement and Muse launch bolster sentiment
KeyBanc noted that Meta's combination of the Social Addiction trial settlement in August and the Muse assistant launch in September have bolstered sentiment around Meta's product cycle and AI returns. Other analysts have moved in the same direction: JPMorgan reiterated an Overweight rating with an $820 price target following Muse's launch. BofA Securities reiterated a Buy rating with an $810 target, citing strong early adoption of the app. Wells Fargo raised its target to $796 while keeping an Overweight rating. It also trimmed its 2026 operating income estimate 12% on an anticipated $10 billion legal settlement charge.
Source: Investing.com
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