William Blair Keeps Outperform on Meta

William Blair analyst Ralph Schackart reiterated an Outperform rating on Meta Platforms Inc. (NASDAQ: META).

“Overview. On September 23, Meta kicked off its annual Meta Connect conference.

The company’s CEO Mark Zuckerberg, Chief AI Officer Alexandr Wang, and CTO Andrew Bosworth highlighted the company’s latest innovations, including its new personal AI assistant, Muse, and updates to its lineup of AI glasses, featuring new styles, capabilities, and price points.

Broadly, the event highlighted three key areas of innovation: Muse, privacy and security, and glasses as the primary device for AI. Muse.

The most important announcement, in our view, was the continued rollout of Muse.

Management described the product as the centerpiece of Meta’s AI strategy and said millions of users are already using the platform.

Notably, Meta outlined a clear monetization framework, with the company expecting to generate revenue primarily by taking a small fee on transactions completed through Muse while keeping the product free for most users.

For power users, Muse offers two paid subscription tiers: $20 per month for 500 million tokens per week and $100 per month for 3 billion tokens per week.

We expect the vast majority of users to remain on the free tier, with transaction-based monetization representing the larger long-term opportunity.

Meta has also significantly expanded Muse’s utility since launching just a few weeks ago.

The company recently rolled out Muse in Canada; introduced a Mac application with access to files, messages, calendars, and notes; unveiled computer-use functionality that enables Muse to operate applications on a user’s behalf; and announced several new productivity and commerce integrations.”

This research note is reproduced verbatim from the issuing firm. Price Target never edits, paraphrases or alters analysts’ words — we only republish them in one place.