TD Cowen Raises Meta Price Target to $865

TD Cowen analyst John Blackledge raised the price target on Meta Platforms Inc.

(NASDAQ: META) to $865 (from $750) while maintaining a Buy rating.

“We are raising META rev, EBITDA & EPS ests following the Connect event, in which mgmt. announced new VR & AI Audio Glasses and an AI charm device, all of which are deeply integrated with the Muse AI agent.

We came away encouraged by the clearest signs to date, in our view, of potential ROI from META’s ongoing AI investments. We also incl. initial Muse AI user/rev projections to ’31E; PT to $865.

At the 9/23 Connect keynote, Meta mgmt. provided a broad update on the popular Muse AI agent (Meta’s recently released agentic AI app, which has reached #1 position on the iOS app store), with live demos presenting the AI bot as an always-on, 24/7 personal assistant that is easy to use and can complete a variety of tasks for productivity, shopping, messaging, etc.

Adding to its Shopify partnership, mgmt. announced a new PayPal integration. Walmart, Best Buy, and delivery app Instacart are also partnering with Muse.

To underscore how important Meta believes shopping will be for Muse, mgmt. added that they are making the AI agent free to use because they expect to drive revenue over time through a take rate on consumer transactions.”

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