(Updated to include Wedbush commentary)
Wedbush raised its price target on Meta Platforms (META) to $650 from $595 following the company's release of its AI agent Muse earlier this week.
According to the brokerage, the consumer AI agent is a key step forward on AI product execution, but establishing product-market fit will take time, as this is a brand-new-to-world product that requires educating consumers on what an agent can do for them.
The brokerage estimates Muse subscriptions can be around $5 billion in 2027, representing roughly 1.5% of its total revenue estimate. For Business AI, its base case 2027 revenue estimate stands at around $1B.
Meta Platforms has an average rating of buy and mean price target of $748.72, according to analysts polled by FactSet.
Price: $652.20, Change: $+7.82, Percent Change: +1.21%