Meta Platforms (META), the social media and technology giant, rolled out its new AI model “Muse Spark” earlier than expected, just ahead of its upcoming earnings, which are set for April 29. The launch comes as Meta pushes to strengthen its position in the AI race, where players like OpenAI, Anthropic, and Google (GOOGL) are seen as key rivals.
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The update appears to have lifted investor sentiment, with the Meta stock gains on early AI model release, lifting investor sentiment.after jumping about 7% to close at $612.42 on Wednesday. Alongside investors, top Wall Street analysts have also turned more constructive on Meta following the early release of its latest AI model.
Top Analysts Turn More Positive after Muse Spark Launch
Top Mizuho analyst Lloyd Walmsley kept an Outperform rating on Meta with an $850 price target. He said the early launch of Muse Spark shows Meta is making real progress in AI models. He added that features like shopping and search could help boost usage and open new ways to make money. Still, he noted that investors will want clearer plans on how Meta will turn its AI work into revenue. Overall, the early release is seen as a positive catalyst ahead of earnings.
Similarly, top William Blair analyst Ralph Schackart also kept an Outperform rating. He said the launch may ease investor concerns after delays and past criticism of Meta’s AI efforts. The analyst added that future model updates will help track how well Meta is getting returns on its AI spending. He also sees a big chance in business AI and shopping tools, though it may take time to scale and show results.
Meanwhile, 5-star analyst Justin Post of BofA Securities reiterated a Buy rating on Meta stock with an $885 price target. He said the early launch removes some uncertainty around Meta’s AI plans. He also noted that steady progress in AI could lift sentiment, similar to what happened at Alphabet (GOOGL). Post added that Meta’s valuation still looks reasonable given its strong ad business and AI opportunity.
What Is the Price Target for Meta?
Turning to Wall Street, analysts have a Strong Buy consensus rating on META stock based on 39 Buys, six Holds, and zero Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average META price target of $862.05 per share implies 40.76% upside potential.
