Meta Platforms shares closed up 1% on Wednesday as analysts raised price targets on the strength of Muse, the company's newly released agentic AI model. Cantor Fitzgerald and KeyBanc both lifted their targets, citing Muse's potential as a key reason.
Meta Platforms stock closed up 1% on Wednesday, adding $7.51 to close at $744.10. The move came largely on the back of Muse, the company's just-released agentic AI model, which is building a considerable user base and drawing companies into its ecosystem.
Analysts point to Muse
That morning, Stifel published a note characterizing AI agents as potentially significant catalysts for growth in the application services segment. According to the note's authors, led by J. Parker Lane, consumer AI agents like Muse offer assistive services — including custom recommendations for shoppers and easier purchases — that can increase the number of transactions, a trend that could benefit many businesses involved in e-commerce.
Two analysts responded by raising their price targets on Meta stock, citing Muse's potential as a key reason. Cantor Fitzgerald's Deepak Mathivanan lifted his target to $860 per share from $680. KeyBanc's Justin Patterson raised his to $900 from $780. Both analysts maintained the equivalent of buy recommendations on the shares.
A new revenue stream
Muse is far from the only commercially available AI model, but it offers capabilities not found in traditional, text-based chatbots. It is also part of Meta's Meta One premium package, which gives the company a new revenue stream and could help reduce its dependence on advertising revenue.
Source: The Motley Fool
Trading involves risk.
Risk Disclaimer
