Track market-moving stories before they get noisy

Marketing pros say Meta should go all in on its cuddly Muse mascot — and ignore the critics

You're currently following this author! Click to unsubscribe from email alerts.

Author of the CMO Insider newsletter

Stand down, Zuck: Time for Jolly to take center stage. Bloomberg/Getty Images Could Meta's Muse get even more Jolly?

By now, you've probably seen plenty of cynical hot takes about Meta's choice to represent its new AI agent with Jolly, the cuddly mascot. "Surveillance Tamagotchi." "Don't believe his lies." "It's sinister that Meta's Muse AI mascot is so cute."

Marketing and branding pros have a different take: Meta should lean even harder into its Jolly side.

"That mascot will become so familiar over time that it will become almost like the Coke bottle," said Gary Stibel, CEO of the New England Consulting Group. "It will become their bridge to safety, reliability, and efficiency."

Jolly didn't feature in Meta's launch TV ad for Muse. Instead, that promo showed a woman preparing a meal, while Muse worked in the background to sort through emails, register kids for fall sports, add a carpool to the family calendar, and buy school supplies.

Alex Schultz talks about Meta Ray-Ban Glasses and its 'big breakthrough' with the SuperBowl

To my eye, it had the aesthetics and generic "here's what the product does" formula of many an AI ad before it.

Data from ad testing firms System1 and DAIVID suggest that the approach was a mistake.

System1 gave the ad a star rating of 1.8 out of a possible 5.9. The rating uses viewers' emotional responses to gauge an ad's potential to drive long-term growth. The ad's "fluency" score, which measures the strength of the branding in the ad on a scale of 0 to 100, came in at 49 — anything under 72 is considered a low score.

AI-creative testing platform DAIVID found that the Muse TV ad elicited more negative emotions than the global norm, while some positive emotions, such as "joy," "excitement," "admiration," and "warmth," were weaker than average. It scored well on responses including "knowledge," "entrancement," and "relief," but attention levels were slightly below the benchmark throughout.

"The ad certainly piqued viewers' interest, but it didn't excite or surprise them in the way you might expect from a major new product launch," Ian Forrester, DAIVID CEO, told me.

Brand mascots are one of the oldest mnemonics in the marketing toolkit, helping people form a positive emotional association with a brand.

What's the first thing you think of when I say Geico, Kool-Aid, or Duolingo? Chances are, a mascot springs to mind.

"Meta follows this playbook with Jolly, using Kindchenschema, our innate draw to cute, infant-like features, to make surprising new technology easier to accept," said System 1's chief growth officer, Andrew Tindall.

The Meta Ad Library shows the company is taking a mixed approach to promoting Muse in ads on Facebook and Instagram. Some feature Jolly, while others home in on the product's functional benefit and include clips from the TV ad. Jolly also features in some outdoor ads

Jolly popped up on a billboard in Oakland, California.  Smith Collection/Gado/Getty Images At least one Meta executive is gleefully, consistently, and often ostentatiously flying the Team Jolly flag. Alexandr Wang's X feed is a Jolly shrine, with the chief AI officer posting and reposting the mascot inserted into memorable internet moments like Kim Kardashian's "break the internet" Paper magazine cover and the George W. Bush 9/11 meme, as well as other images that accentuate its posterior.

VaynerX CMO Avery Akkineni, who attended the Muse launch event at Menlo Park last week, said Wang's increasingly public persona — striking camo-print T-shirt very much included — and the introduction of Jolly underscored how Meta is intentionally striking a different tone.

"In some ways, it does humanize the product a little bit," Akkineni said. "I am certain that their intention is to make this more widely available and accessible than just for the early-adopter crowd."

Read next

Lara O'Reilly You're currently following this author! Click to unsubscribe from email alerts.

Lara O'Reilly is the anchor of the CMO Insider newsletter.She is a chief correspondent who has covered the digital advertising, marketing, and media industries since 2010. Her current beat includes big tech companies like Alphabet and Meta, adtech firms, agencies, publishers, the creator economy, and CMOs.Lara has previously worked as a reporter and executive producer at titles including The Wall Street Journal, Digiday, Yahoo Finance, and Marketing Week. She was previously Business Insider's senior global advertising editor from 2014 to 2017.Lara is a regular guest on TV and radio and has appeared on outlets such as the BBC, NPR, SiriusXM's Wharton Business Daily, and CTV Television Network. She also frequently speaks on stage at major events such as Web Summit, IFA, VivaTech, Advertising Week, and Cannes Lions.To get in touch with Lara O'Reilly, email [email protected] or contact her on Signal at @loreilly.71

Meta

Over the weekend, what seemed like a pretty typical Facebook Marketplace transaction took a very bizarre turn when Matt Robb, a Toronto-based tech video creator, let Muse handle his communications. Several hours later, Robb learned that, unbeknownst to him, Meta’s new AI agent had accepted a lowball offer for a keyboard and arranged a time for the buyer to come pick up the item—even though Robb wasn’t home at the time. 

“A guy just showed up at my door, ready to buy, because as far as he knew, we had a deal,” Robb wrote on Threads after learning of the mix-up from the AI agent. “Absolutely wild.”

While Robb later clarified that he had pre-authorized the agent to give out his address and accept offers, the mishap still exposed vulnerabilities in the system. In response, Robb sent feedback to David Singleton, who heads up the Meta Superintelligence Labs at the Menlo Park, California-based company. Robb even patched things up with the buyer, Usman Naseem, who was understandably disgruntled to arrive at Robb’s apartment ready to buy a keyboard only to be ghosted once there. Naseem posted on Threads that Robb delivered the keyboard along with some valuable items as a gift. 

Still, the whole ordeal serves as a cautionary tale of sorts.

WHAT WENT WRONGIt seems that some of the settings were to blame for how this transaction went off the rails.

Robb noted that when allowing Muse to handle his Facebook Marketplace interactions, he had selected the “allow always” option in lieu of “allow one time.” Robb said that he thought that the AI agent would send approvals to accept offers, which it didn’t do. “Be careful,” he cautioned others.

Mark Zuckerberg says Meta’s A.I. push is a tremendous success. “Our investments in A.I. are accelerating every major part of our core business,” he has told investors. “Every sign that we’re seeing in our own work and across the industry gives us confidence in this investment.”

But when Meta files its taxes, it tells the Internal Revenue Service a different story. It claims that its A.I. data centers are a giant experiment that could fail, according to four people with knowledge of the company’s operations.

It does this so it can tap into a tax credit intended for research and experimentation. It’s an aggressive interpretation of the tax break, which Meta embraced to claim billions of dollars in tax credits for data center expansion.

Characterizing its A.I. data centers as experimental is “kind of wild and out there,” said Andre Shevchuck, a partner at the advisory firm BPM who specializes in the research and experimentation tax credit.

Indeed, Meta’s own accountants recognize that the strategy is on shaky legal ground. In disclosures buried in securities filings, the tech giant warns that billions in tax savings are vulnerable to being overturned by the I.R.S., in large part because of “uncertainties with our research tax credits.”

Here’s what Meta is doing: For tax purposes, the company classifies its enormous, multibillion-dollar data centers as “pilot models.” Under a tax credit created in the 1980s to spur innovation, companies can get a rebate for supplies, but only if they are being tested in an experimental effort, not standard business operations. Meta is claiming that the costly A.I. computer chips it buys from companies, including Nvidia, are entitled to a taxpayer-provided discount as part of the experiment.

The move caused some unease within Meta’s finance department. The I.R.S. in the past has challenged companies that claimed the credit for basic supplies. While thousands of companies, including other tech giants, get huge benefits from the research tax credit, they do so overwhelmingly for salaries paid to researchers and engineers — the people carrying out innovation.

Meta’s use of the tax break for the data centers has not been previously reported. The New York Times reviewed securities filings and conducted multiple interviews, including with the people familiar with Meta’s operations, who spoke on the condition of anonymity to discuss proprietary matters.

The company started claiming the credit for the data centers two years ago. Since then, Meta’s savings from the credit have soared, trimming almost $4 billion off its tax bill last year, filings show. Meta is now the biggest beneficiary of the tax credit among publicly traded companies, a Times review of securities filings found.

Aggressive bets like these often pan out for big companies: Even if the I.R.S. balks, companies can settle disputes and still wind up ahead.

Meta is already in one sizable dispute with the I.R.S. over this tax break, for using it to subsidize its chief executive’s multibillion-dollar pay package. In 2013, Meta claimed that $4.1 billion of stock options exercised by Mr. Zuckerberg counted as a research expense because he helped invent new software, such as Facebook’s News Feed. The I.R.S. is trying to claw back the company’s resulting $355 million in tax savings, court filings show.

The social media company’s stock is soaring, and it is now worth nearly $2 trillion thanks in part to how its A.I. efforts have improved Instagram, WhatsApp and Facebook. This month, Meta released Muse, a personal A.I. agent that immediately became the most downloaded app for iPhone and Android users. Meta and other tech giants’ A.I. efforts have also been helped by an accelerated write-off for research and development expenses that stemmed from the One Big Beautiful Bill Act, passed in 2025.

“Meta is one of the largest investors in research and development in the United States,” said Andy Stone, a company spokesman. “Over the last five years, Meta invested $200 billion in R&D — $57 billion in the last year alone, advancing frontier research, building new technology and supporting American jobs. Like other companies that invest at this scale, we use the tax incentives Congress established decades ago to encourage this type of domestic investment.”

A Very Favorable Tax Credit
The tax break dates to the first year of the Reagan administration, when Japan was a global leader in technological innovation. Business lobbyists and legislators were worried that America’s fledgling tech sector would fall behind, so Congress created the Research & Experimentation Tax Credit as an incentive to take risks and invest in inventions that might not pan out commercially. A few years after the credit was created, a government report said it had been used to develop, among other things, electronic banking equipment and drugs to treat cancer.

Tax rules already permitted tech companies to write off research expenses from their taxable income. The new credit was even more generous and could be taken on top of the deduction. But it was harder to qualify for. Companies have to meet a complex four-part test to prove they are running an experiment, not just rolling out a new product.

In the summer of 2024, Meta was ramping up its efforts to compete in the Silicon Valley A.I. race, breaking ground on tens of thousands of acres of data centers across the country. This was an expensive endeavor. One of the biggest expenses of any A.I. data center was computer chips, which are made by companies like Nvidia and cost thousands of dollars each. A Meta employee overseeing the build-out had a creative idea to offset the costs: Tap the credit.

Chips, like these from Nvidia, are the backbone of A.I. data centers. — Christie Hemm Klok for The New York Times
The credit is meant to spur innovation by encouraging companies to tackle unsolved problems and technical challenges. While Meta is testing different physical layouts for server racks and looking for the best way to network thousands of chips for A.I. training, the chips themselves are known to work. They have been at the center of A.I.’s progress for the last decade and turned Nvidia into the world’s most valuable company.

Some in Meta’s finance department questioned whether this tactic would pass muster with the I.R.S., according to a person familiar with the matter. The I.R.S. has rejected other companies’ efforts to claim the credit for “proven and commercially available equipment and technology.”

The company sought advice from lawyers at multiple firms, who pointed to a relevant case from 2021, in which a federal judge denied the research tax break to an Indiana shipbuilder for the cost of building new types of vessels. Simply creating a new product wasn’t enough; a company must pinpoint the specific components of a project that were technically uncertain** **and prove it used scientific experiments to overcome that uncertainty.

One of the lawyers Meta consulted was Jeffrey Moeller at Ivins, Phillips and Barker, people familiar with the conversations said. Mr. Moeller represented the pharmaceutical maker Bayer in a $200 million dispute with the I.R.S. over research tax credits. In an interview, he would not comment specifically on Meta. But he did say the rules could permit claiming the credit on commercially available, proven products — if they were supplies required to resolve the uncertainty of a project.

Another lawyer consulted by Meta, those people said, was Alex Sadler, a former Department of Justice tax lawyer and now a partner at Morgan Lewis, which declined a request to interview him. But when he spoke at a tax conference in Virginia this month, Mr. Sadler said that pilot models were an “area of controversy” and that the I.R.S. “doesn’t like” when companies characterize commercial production as research to claim the credit. The I.R.S. takes issue with the use of the research tax credit for “big things,” he said.

“What if we have a $10 billion data center that does cool stuff that hasn’t really been done?” he said. “Is all the cost a research expenditure?”

After a few months of deliberation, Meta took the plunge. It started labeling chips bound for A.I. data centers differently for tax purposes from those sent to standard data centers, two people with knowledge of the matter said.

Risky Business
The strategy has been lucrative. Meta said the research tax credit shaved $2 billion off its taxes in 2024, and then $3.9 billion in 2025.

That is a significant increase from the $700 million the company reported in 2023, the year before it embarked on its data center strategy.

At the very top of the company, Meta executives kept the tax strategy close to the vest, two people with knowledge of the discussions said.

But because the I.R.S. was likely to challenge this new and untested accounting magic, the company had to acknowledge the risk in a securities disclosure called “unrecognized tax benefits.” That is essentially the gap between what Meta paid to the I.R.S. and how much it might owe if tax authorities challenge its maneuvers. It’s a warning to investors that Meta made a bet, and the amount of the gap reflects the odds of losing, as determined by a company’s tax advisers.

A Meta A.I. data center under construction in northeast El Paso. — Paul Ratje for The New York Times
Since Meta began its research credit A.I. strategy, the amount set aside to cover those tax bets increased 45 percent — to $18.74 billion today from $12.9 billion two years ago. The contributing factor listed first in its annual financial filing is “uncertainties with our research tax credits.”

Other major tech companies, including Apple, Amazon, Alphabet and Microsoft, also report research tax credits of more than $1 billion a year. But none of them have flagged the research tax credit as a risk in their financial reports to investors or disclosed whether they have used it for A.I. data centers.

“Meta is claiming billions of dollars in tax benefits that its own accountants are telling investors are at risk of being overturned by the I.R.S.,” said Lisa De Simone, a former tax adviser at EY who teaches accounting at the University of Texas business school.

Mr. Stone, the Meta spokesman, said that “unrecognized tax benefits are simply a mandated accounting measure of uncertainty.” He called them a “snapshot in time reflecting the status of unresolved issues and reflect many different types of uncertainties.”

Another of Meta’s unresolved issues concerns one of the biggest U.S. Tax Court disputes in the country’s history: The I.R.S. is seeking nearly $16 billion in taxes and penalties on profits it says the company shifted to the Cayman Islands from the United States.

Tax credit experts said Meta was again entering choppy waters by taking this huge tax break on data centers. Shawn Marchant, who runs the credit and incentives practice at Tanner and advised on the research incentive for more than a decade at EY, said he would be “skeptical” of claiming it for all the computer chips in all the data centers. Mr. Shevchuck, the tax adviser at BPM, proposed one way it might work: “If you had a data center that you’re building out to cure cancer.”

Meta declined to answer questions about what made its A.I. data centers experimental, and why tens of billions of dollars of chips and computing equipment qualified for the research tax credit.

Meta’s auditor, EY, had to sign off on the plan. The global tax and accounting firm was among the firms that Meta consulted on using the tax credit in the first place. EY has since pitched other companies on using the research credit to buy computer chips for A.I. training.

Innovation or Creative Accounting?
James Shannon, a former U.S. representative from Massachusetts who sponsored the research tax credit in 1981, said it had been intended to support “people power, knowledge, information,” and not “making things.”_ _He was surprised to hear that a technology company would use the credit for supplying A.I. data centers.

“This has gone way, way beyond what anybody could have imagined,” Mr. Shannon said.

Whether the tax break inspires the innovation that he and other lawmakers sought is a matter of debate. Some companies appear to use the credit for spending they would do anyway, according to a study last year by economists at the University of Southern California. If companies “simply reclassify existing spending as R&D,” the researchers wrote, they are getting the tax breaks “without meaningfully financing innovation.”

The credit has become the second-most expensive federal corporate tax break, behind only the reduced rate applied to offshore profits. In its most recent estimate, the congressional Joint Committee on Taxation projected the credit would cost the government $32.1 billion in 2025.** **Meta alone would be responsible for more than a tenth of that.

Jim Cramer sees Muse as potentially important enough to change how Wall Street values Meta Platforms Inc (NASDAQ:META), but the company’s latest push gives investors a more tangible way to test that thesis — paying businesses.

Meta launched Muse with a free tier alongside subscriptions priced at $20 and $100 per month. This gives the AI agent an immediate monetization path beyond advertising.

The vast majority of users are expected to remain on the free tier, according to Meta AI chief Alexandr Wang, making conversion rather than downloads the metric investors eventually need to watch.

Muse Is Moving Beyond Individual ProductivityMeta recently introduced Muse for Small Business, allowing companies to connect the agent with tools including Shopify Inc. (NASDAQ:SHOP), QuickBooks, Stripe, Slack, Canva and other software they already use to run their businesses.

The potential revenue math is straightforward.

One million customers paying $20 a month would represent $240 million in annualized revenue, while the same number at $100 would represent $1.2 billion. Those are illustrative scenarios, not forecasts, but they show why the size and mix of Meta’s paying customer base could eventually matter more than Muse’s download count.

Read Next

Cramer’s Bull Case Gets TestedAccording to Cramer, Meta should increasingly be viewed as an enterprise company rather than simply a consumer business because of Muse. He argues that the product could help move its valuation from an 18x multiple toward 24–25x.

That valuation argument has already become harder to ignore. Meta trades at about 21.2x forward earnings, according to Benzinga Pro data, while shares have gained 25.8% over the past month.

But the more interesting question is no longer whether Muse deserves a higher multiple. It is whether Meta can demonstrate an actual business behind the valuation argument.

Meta formally launched its Enterprise Platform this week, bringing Muse, Muse API, Muse Code and Meta Business Agent into a broader push aimed at businesses and developers. CEO Mark Zuckerberg called it a "next major pillar" of Meta’s business.

The Revenue Test Starts NowMeta does not need Muse subscriptions to replace advertising; even a relatively small enterprise business could become strategically important if it establishes a new recurring revenue stream and increases the value of Meta’s AI ecosystem.

The company is also building multiple monetization routes around that ecosystem. Meta One already offers business and creator subscriptions ranging from $14.99 to $499 per month, while Muse can connect directly with the software and commerce systems businesses already use.

For investors, the next catalyst is less about another Muse download milestone and more about evidence of paid adoption, business usage and recurring revenue.

Cramer supplied the bullish valuation thesis; whether Meta can validate it remains to be seen.

Read Next

Photo: Erlin Diah / Shutterstock

© 2026 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Meta Platforms, Inc. (NASDAQ:META – Get Free Report) CEO Mark Zuckerberg sold 27,474 shares of the firm’s stock in a transaction dated Thursday, September 24th. The shares were sold at an average price of $777.44, for a total value of $21,359,386.56. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Meta Platforms Stock Performance Shares of Meta Platforms stock opened at $715.62 on Tuesday. The company has a market capitalization of $1.82 trillion, a PE ratio of 26.95, a P/E/G ratio of 1.31 and a beta of 1.25. The company has a debt-to-equity ratio of 0.32, a quick ratio of 2.23 and a current ratio of 2.23. The company has a 50-day simple moving average of $616.56 and a two-hundred day simple moving average of $613.27. Meta Platforms, Inc. has a one year low of $520.26 and a one year high of $779.82.

Meta Platforms (NASDAQ:META – Get Free Report) last released its quarterly earnings results on Wednesday, July 29th. The social networking company reported $6.18 EPS for the quarter, missing the consensus estimate of $7.19 by ($1.01). Meta Platforms had a net margin of 29.83% and a return on equity of 33.18%. The firm had revenue of $60.80 billion for the quarter, compared to analysts’ expectations of $60.22 billion. During the same period in the previous year, the company posted $7.14 earnings per share. The business’s quarterly revenue was up 28.0% compared to the same quarter last year. Research analysts expect that Meta Platforms, Inc. will post 27.93 EPS for the current fiscal year.

Meta Platforms Announces Dividend The company also recently announced a quarterly dividend, which was paid on Monday, September 28th. Shareholders of record on Monday, September 21st were paid a $0.5250 dividend. This represents a $2.10 annualized dividend and a yield of 0.3%. The ex-dividend date was Monday, September 21st. Meta Platforms’s dividend payout ratio (DPR) is 7.91%. Analysts Set New Price Targets A number of equities analysts have recently issued reports on META shares. Royal Bank Of Canada reaffirmed an “outperform” rating and set a $770.00 price target on shares of Meta Platforms in a research report on Thursday, September 24th. Loop Capital raised their price objective on Meta Platforms from $740.00 to $955.00 and gave the stock a “buy” rating in a research report on Thursday, September 24th. Truist Financial dropped their target price on Meta Platforms from $770.00 to $763.00 and set a “buy” rating on the stock in a research note on Thursday, August 27th. Evercore upped their target price on Meta Platforms from $820.00 to $860.00 in a research report on Tuesday, August 25th. Finally, Jefferies Financial Group increased their price target on Meta Platforms from $710.00 to $875.00 and gave the company a “buy” rating in a research note on Tuesday, September 22nd. Three equities research analysts have rated the stock with a Strong Buy rating, forty-four have assigned a Buy rating and ten have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $787.86.

Check Out Our Latest Stock Analysis on META

Hedge Funds Weigh In On Meta Platforms Several hedge funds have recently made changes to their positions in the company. RHL Group LLC purchased a new stake in Meta Platforms in the fourth quarter valued at approximately $28,000. Advantage Trust Co acquired a new stake in shares of Meta Platforms in the second quarter worth $28,000. Niles Investment Management LLC purchased a new position in shares of Meta Platforms during the fourth quarter worth $29,000. Philadelphia Investment Partners LLC purchased a new position in shares of Meta Platforms during the second quarter worth $32,000. Finally, Axiom Investment Management LLC acquired a new position in Meta Platforms during the first quarter valued at $36,000. 79.91% of the stock is owned by institutional investors and hedge funds.

More Meta Platforms News Here are the key news stories impacting Meta Platforms this week:

Positive Sentiment: Meta launched the Meta Enterprise Platform, offering businesses and developers access to its Muse AI agent, Business Agent, Muse API and Muse Code. The company hired MongoDB CEO Chirantan “CJ” Desai to lead the initiative, signaling an effort to generate revenue from its multibillion-dollar AI investments beyond advertising. Meta launches enterprise AI platform Positive Sentiment: Muse’s integration across Facebook, Instagram, Messenger and WhatsApp is supporting rapid user adoption; the AI-powered app reportedly reached the top spot in the U.S. App Store. Analysts also see potential revenue from subscriptions, transaction fees, enterprise tools and commercial API licensing. Meta Platforms boosts ad engagement with AI Positive Sentiment: Monness Crespi & Hardt raised its price target on META to $830 from $730 and maintained a Buy rating, citing the company’s AI opportunity and expanding ecosystem. AI improvements are also reportedly increasing ad engagement, clicks and conversions. Meta Platforms price target raised Neutral Sentiment: Investors remain divided over Meta’s AI strategy. Bullish analysts expect new AI agents, smart glasses and enterprise software to create additional revenue streams, while others question whether the returns will justify the investment. Negative Sentiment: Capital expenditures rose sharply to $31.1 billion in the second quarter from $19.4 billion a year earlier. The scale of data-center and AI spending is raising concerns about returns on capital and near-term margins. Meta Platforms: Are You Going to Buy the Promise? Negative Sentiment: Reports that OpenAI is developing a competing AI assistant intensified competitive concerns. Separately, alleged Muse disclosures of private messages and a user’s address have triggered privacy and safety criticism, potentially creating regulatory and reputational risks. Elon Musk amplifies privacy concerns over Muse Negative Sentiment: Meta also faces legal and political overhang after a New Mexico jury found that Facebook misled residents about personal-data practices, while lawmakers are questioning AI and data-center tax subsidies. Recent gains have additionally left the valuation less compelling, increasing sensitivity to execution disappointments. (Get Free Report)

Meta Platforms, Inc is a technology company that develops social networking, messaging, virtual and augmented reality, and artificial intelligence products. The company operates a global family of apps that includes Facebook, Instagram, Messenger, WhatsApp and Threads, enabling users to connect, communicate, share content and discover communities.

Meta generates most of its business through digital advertising displayed across its platforms. Its products serve individuals, creators, businesses and organizations in markets around the world, while its advertising tools help businesses reach audiences based on factors such as interests, activity and demographics.

Through its Reality Labs division, Meta develops virtual and augmented reality hardware, software and services, including the Meta Quest line of headsets and related experiences.

See Also Five stocks we like better than Meta Platforms Six Flags Launches FlexPay—Is There Any FUN Left in the Stock? Brewing Trouble? Starbucks Spills the Beans on 250 Store Closures Stitch Fix Stock Plunges as Guidance Puts the Turnaround on Pause Harley-Davidson Insiders Are Buying: Is HOG Finally Turning Around?

Receive News & Ratings for Meta Platforms Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Meta Platforms and related companies with MarketBeat.com's FREE daily email newsletter.

Jeff Chiu/AP; Meta; Rebecca Zisser/BI Meta is on an app rampage that extends far beyond its hit AI personal assistant, Muse.

The tech giant has released seven new apps so far in 2026. They range from getting back to Meta's basics of sharing photos to testing AI use cases for everyday people.

It's all part of Meta's biggest task at hand right now: Winning the race to build the AI era's Facebook or Instagram.

Meta CEO Mark Zuckerberg has also credited AI with helping the company quickly turn new ideas into real products.

"AI is helping our teams speed up product development," he told investors during Meta's July earnings call. "I expect it to become a lot easier to ship new apps, so we're planning to build out more ideas and use our recommendation systems to scale them to the people who will find them interesting, as we've done with Threads."

In May, Meta globally launched Instants, a Snapchat-like app that it spun out of Instagram. In August, it released Pocket, a vibe-coding social app, and began testing an AI-powered bedtime story app, Storytime, in some regions.

Meta also recently shipped three new Facebook apps: Forum (for groups), Seller (for Facebook Marketplace), and Creator Studio (for Facebook content creators).

"They're constantly still trying to innovate," Amy Wu Martin, an investor at Menlo Ventures, told Business Insider.

This isn't Meta's first time throwing spaghetti at the wall and seeing what sticks. In the 2010s, Facebook had a Creative Labs team that launched a handful of apps. In 2019, the company announced its New Product Experimentation org, which tested, launched, and ultimately shut down several apps, from livestreaming to social apps for music and couples.

The NPE org was short-lived, however, and was deprioritized following Meta's major layoffs in late 2022. Now, the company is embracing new products again with open arms.

One big reason: the success of Threads.

Threads, Meta's bid to compete with X (formerly Twitter), was one of the company's first successful breakout apps added to its roster in recent years. Since its launch in 2023, Meta has touted the social app's growth. In July, Zuckerberg shared that Threads had surpassed 500 million monthly active users, "making it the fastest-growing conversation app ever." The app welcomed advertising at the start of the year, too.

Meta's AI advantageWhile AI has ushered in a wave of new ideas for consumer-facing apps, there haven't been "a lot of winners yet," Martin said.

That leaves Meta — with massive resources compared to a scrappy startup — at an advantage.

Forrester principal analyst Kate Winick said that, with Muse, Meta is "going back to its roots."

The company is "figuring out how to put a very accessible, very friendly consumer-centric wrapper around technology that exists elsewhere," she added.

Meta didn't invent the AI personal assistant — startups like Instinct, Town, or Poke have stirred industry buzz — but the company made lots of noise with Muse's rollout.

Meta showcased Muse at its Connect conference.  Bloomberg/Getty Images The biggest leg up Meta has for Muse, as well as for any app it's pushing, is the billions of users already in its ecosystem. In July, Zuckerberg said that 3.6 billion people use "at least one of our apps each day."

When Meta launches an app, it can instantly promote it to its existing users.

Have you opened Instagram in the last few weeks? If you have, odds are you've seen an advertisement from Meta suggesting you try out Muse.

Meta employed that same strategy to funnel Instagram and, eventually, Facebook users over to Threads.

Launching an app into the void no longer cuts it. To stand out in the noise, Meta needs to pour gas on the flame. The company seems to be learning a lesson from its previous app flops by "putting the full might of the company" behind pushing its newest and latest, Winick said.

Tempering the super app dreamIf you download all of Meta's major apps — in addition to the Holy Trinity of Instagram, Facebook, and WhatsApp — that leaves you with 14 Meta-owned apps.

Move all those apps to one iPhone page, and it takes up about half the screen.

Instead of consolidating everything into one giant super app, Meta is going for a sprawling approach.

When I put all of the Meta's apps on one page on my phone, it took up most of the screen.  Screenshot/Meta/Sydney Bradley Dreams of a super app aren't ancient history. Only a few years ago, Meta seemed to be morphing Instagram into a super app with video, photos, livestreaming, shopping, and more. Meanwhile, in China, WeChat dominates as the everything app. Tech executives from X's Elon Musk to Microsoft's Satya Nadella have shared their super app aspirations.

"In the Western markets at least, the super app has not been a form factor that has really taken hold," Martin said. "People want to use an app for a specific thing."

Meta seems to be giving that a shot.

Want to send a disappearing photo to a friend, but not on Instagram DMs? Open Instants. Want to sell a piece of furniture on Marketplace but don't want to deal with the distractions of the Facebook app? Open Seller.

This approach could also help Meta as it pushes into subscriptions and looks for potential bundles.

"They're really creating an ecosystem" instead of one massive app, Winick said. "And it's persuasive."

Read next

Sydney Bradley You're currently following this author! Click to unsubscribe from email alerts.

Sydney Bradley has been covering media and tech for Business Insider since 2020. She breaks news and writes extensively about Instagram and Facebook, as well as new social media startups, dating apps, the creator economy, venture capital, and tech culture.She regularly contributes to BI's "After Hours" series, where our reporters dive into the social scenes shaping tech, media, and finance.Sydney's reporting on Instagram was nominated as a finalist for the 2021 Los Angeles Press Club National Entertainment Journalism Awards.She graduated from the University of Virginia with a degree in American Studies. You can follow Sydney's work on LinkedIn, Twitter, and Instagram at @sydneykbradley.Have a tip? You can also contact her via encrypted messaging app Signal (@sydneykbradley.123), encrypted email ([email protected]), or standard email ([email protected]). Use a personal email address, a nonwork WiFi network, and a nonwork device; here’s our guide to sharing information securely.

analysis Meta Instagram More Facebook WhatsApp AI

OpenAI on Tuesday unveiled always-on agents called Dots that chase user goals across apps on their own, deepening its push into the lucrative enterprise market and pitting it against Meta (META.O) in the race to sell AI that can ​work autonomously.

The Dots agents aim to capitalize on growing demand for agents that can handle everyday work with little supervision. ‌Interest in such tools has surged since Meta's Muse drew millions of downloads earlier this month and jolted shares of companies that investors believe could benefit or be disrupted by autonomous AI services.

OpenAI launched the agent at its annual developer day in San Francisco on Tuesday while also touting its growing business and consumer presence, ​a sign that the reception for the company's Astra model has allowed it to make up ground in the AI race.

It ​also comes a day after OpenAI shelved the release of a more powerful Astra model, saying it showed ⁠a high willingness to mislead users about its actions. The company is under scrutiny after its rogue AI agents hacked Hugging Face and an Australian government ​health website during internal testing.

Growing quickly is crucial for OpenAI's plans to spend tens of billions of dollars on AI data centers and keep ​pace with rivals such as Anthropic and Meta. The company, which ignited the AI boom with ChatGPT in late 2022, is also preparing for an IPO that could value it at more than $1 trillion. Rival Anthropic could be worth $2 trillion when it goes public.

MANAGING EVOLVING PROJECTS
Dots use OpenAI's advanced GPT-6 Astra model and can manage ​projects as they evolve, such as updating a sales proposal when customer needs change, and building a working demo for review. Users can communicate ​with Dots on Slack and Teams, and the agents can draw on OpenAI's Codex and ChatGPT Work tools to research, analyze data, prepare documents and build ‌software.

On Tuesday, ⁠OpenAI highlighted safeguards it has built into Dots. It said users could set custom rules that dictate what Dots can do and when the agents should seek permission, adding that sensitive tasks such as changing passwords and permanently deleting data require explicit user consent.

The company also said Dots run on their own cloud computers, and that it was rolling out private intelligence tools to check for safety risks without retaining business customers' data.

Several ​tech executives, including Palantir (PLTR.O) CEO Alex ​Karp, have in recent months ⁠said that businesses need certainty that AI companies are not retaining their data, especially in regulated industries such as healthcare and finance.

Reuters reported on Friday that OpenAI was still working to understand the full scope of ​its rogue agent activity, two months after the Hugging Face hack, with the latest example coming when ​the startup said its ⁠agents had leaked 53 images from ChatGPT users.

OpenAI reiterated on Tuesday that it does not use business customers' data to train its AI by default, and that personal-plan users could opt out of sharing conversations and Dots work used for training.

Weekly users of Codex and ChatGPT Work have reached more ⁠than 35 million, ​up from about 5 million Codex users in June, the company said Tuesday, while ​consumer-focused ChatGPT now has over 1.2 billion weekly users.

The company is rolling out a range of new offerings including a shared workspace for business teams and AI called ChatGPT Space, ​the cheaper GPT-6.1 Sol model and a $500 Pro plan offering higher usage and faster performance.

Meta (META.O) said on Tuesday it is adding new features to Instagram's school ​partnership program in the US, expanding tools ‌for schools and students as the social media company steps up efforts to protect teens ​online.

Here are some details:

Meta said nearly ​17,000 schools have joined the program ⁠to date. The company is creating a ​new centralized hub for school-related accounts.

The move ​comes as Meta faces growing scrutiny over the impact of its platforms on younger users.

Meta agreed in ​August to pay up to $18 billion over ​the next decade and impose strict limits on teenagers' ‌use ⁠of Facebook and Instagram to resolve claims that it designed the platforms to addict children.

Verified students at schools participating in ​the program ​will be ⁠able to access new features, including a directory of clubs ​and teams, school-specific stories and notes ​for ⁠announcements, Meta said.

The company also is introducing new Channels and Notes features for verified ⁠schools, ​allowing them to communicate ​with students, parents and the wider school community.

Ramsay Stattman Vela & Price Inc. acquired a new stake in Meta Platforms, Inc. (NASDAQ:META – Free Report) during the second quarter, according to its most recent 13F filing with the SEC. The fund acquired 3,768 shares of the social networking company’s stock, valued at approximately $2,122,000.

A number of other large investors also recently modified their holdings of META. Auto Owners Insurance Co raised its position in shares of Meta Platforms by 76,587.7% in the fourth quarter. Auto Owners Insurance Co now owns 105,292,277 shares of the social networking company’s stock worth $69,502,379,000 after buying an additional 105,154,977 shares in the last quarter. Geode Capital Management LLC raised its holdings in shares of Meta Platforms by 1.7% during the 4th quarter. Geode Capital Management LLC now owns 52,806,712 shares of the social networking company’s stock valued at $34,734,628,000 after buying an additional 878,396 shares in the last quarter. Norges Bank bought a new stake in shares of Meta Platforms in the 4th quarter worth approximately $22,152,075,000. Bank of America Corp DE boosted its position in Meta Platforms by 14.6% during the first quarter. Bank of America Corp DE now owns 21,038,035 shares of the social networking company’s stock valued at $12,036,491,000 after buying an additional 2,673,494 shares during the period. Finally, Invesco Ltd. boosted its holdings in Meta Platforms by 6.1% during the 4th quarter. Invesco Ltd. now owns 18,200,469 shares of the social networking company’s stock valued at $12,013,948,000 after acquiring an additional 1,046,715 shares during the period. 79.91% of the stock is currently owned by institutional investors.

Insiders Place Their Bets In other news, CTO Andrew Bosworth sold 7,848 shares of the company’s stock in a transaction dated Tuesday, August 18th. The stock was sold at an average price of $558.00, for a total value of $4,379,184.00. Following the completion of the transaction, the chief technology officer owned 828 shares of the company’s stock, valued at $462,024. This represents a 90.46% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Susan Li sold 9,196 shares of the company’s stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $550.61, for a total value of $5,063,409.56. Following the completion of the transaction, the chief financial officer owned 13,186 shares of the company’s stock, valued at $7,260,343.46. The trade was a 41.09% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 150,807 shares of company stock valued at $102,155,232. Insiders own 13.53% of the company’s stock.

Analyst Upgrades and Downgrades META has been the topic of a number of recent analyst reports. JPMorgan Chase & Co. raised their price target on shares of Meta Platforms from $820.00 to $920.00 and gave the stock an “overweight” rating in a report on Thursday, September 24th. Deutsche Bank Aktiengesellschaft upped their price target on Meta Platforms from $750.00 to $820.00 and gave the stock a “buy” rating in a research note on Friday. Raymond James Financial raised their target price on shares of Meta Platforms from $650.00 to $860.00 and gave the company a “strong-buy” rating in a research note on Thursday. China Renaissance reduced their price target on Meta Platforms from $825.00 to $700.00 and set a “buy” rating for the company in a report on Friday, July 31st. Finally, Weiss Ratings restated a “hold (c+)” rating on shares of Meta Platforms in a report on Tuesday, September 22nd. Three research analysts have rated the stock with a Strong Buy rating, forty-four have issued a Buy rating and ten have issued a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $787.86. Get Our Latest Stock Report on Meta Platforms

Key Meta Platforms News Here are the key news stories impacting Meta Platforms this week:

Positive Sentiment: Meta launched the Meta Enterprise Platform, offering businesses and developers access to its Muse AI agent, Business Agent, Muse API and Muse Code. The company hired MongoDB CEO Chirantan “CJ” Desai to lead the initiative, signaling an effort to generate revenue from its multibillion-dollar AI investments beyond advertising. Meta launches enterprise AI platform Positive Sentiment: Muse’s integration across Facebook, Instagram, Messenger and WhatsApp is supporting rapid user adoption; the AI-powered app reportedly reached the top spot in the U.S. App Store. Analysts also see potential revenue from subscriptions, transaction fees, enterprise tools and commercial API licensing. Meta Platforms boosts ad engagement with AI Positive Sentiment: Monness Crespi & Hardt raised its price target on META to $830 from $730 and maintained a Buy rating, citing the company’s AI opportunity and expanding ecosystem. AI improvements are also reportedly increasing ad engagement, clicks and conversions. Meta Platforms price target raised Neutral Sentiment: Investors remain divided over Meta’s AI strategy. Bullish analysts expect new AI agents, smart glasses and enterprise software to create additional revenue streams, while others question whether the returns will justify the investment. Negative Sentiment: Capital expenditures rose sharply to $31.1 billion in the second quarter from $19.4 billion a year earlier. The scale of data-center and AI spending is raising concerns about returns on capital and near-term margins. Meta Platforms: Are You Going to Buy the Promise? Negative Sentiment: Reports that OpenAI is developing a competing AI assistant intensified competitive concerns. Separately, alleged Muse disclosures of private messages and a user’s address have triggered privacy and safety criticism, potentially creating regulatory and reputational risks. Elon Musk amplifies privacy concerns over Muse Negative Sentiment: Meta also faces legal and political overhang after a New Mexico jury found that Facebook misled residents about personal-data practices, while lawmakers are questioning AI and data-center tax subsidies. Recent gains have additionally left the valuation less compelling, increasing sensitivity to execution disappointments. Meta Platforms Stock Down 4.8% META opened at $715.62 on Tuesday. Meta Platforms, Inc. has a 1-year low of $520.26 and a 1-year high of $779.82. The firm’s 50 day simple moving average is $616.56 and its two-hundred day simple moving average is $613.27. The company has a market capitalization of $1.82 trillion, a PE ratio of 26.95, a PEG ratio of 1.31 and a beta of 1.25. The company has a current ratio of 2.23, a quick ratio of 2.23 and a debt-to-equity ratio of 0.32.

Meta Platforms (NASDAQ:META – Get Free Report) last released its quarterly earnings results on Wednesday, July 29th. The social networking company reported $6.18 earnings per share (EPS) for the quarter, missing the consensus estimate of $7.19 by ($1.01). Meta Platforms had a net margin of 29.83% and a return on equity of 33.18%. The company had revenue of $60.80 billion for the quarter, compared to the consensus estimate of $60.22 billion. During the same period in the prior year, the firm posted $7.14 EPS. The business’s revenue for the quarter was up 28.0% on a year-over-year basis. As a group, equities analysts forecast that Meta Platforms, Inc. will post 27.93 EPS for the current year.

Meta Platforms Dividend Announcement The company also recently announced a quarterly dividend, which was paid on Monday, September 28th. Investors of record on Monday, September 21st were paid a dividend of $0.5250 per share. The ex-dividend date was Monday, September 21st. This represents a $2.10 dividend on an annualized basis and a dividend yield of 0.3%. Meta Platforms’s payout ratio is 7.91%.

About Meta Platforms (Free Report)

Meta Platforms, Inc is a technology company that develops social networking, messaging, virtual and augmented reality, and artificial intelligence products. The company operates a global family of apps that includes Facebook, Instagram, Messenger, WhatsApp and Threads, enabling users to connect, communicate, share content and discover communities.

Meta generates most of its business through digital advertising displayed across its platforms. Its products serve individuals, creators, businesses and organizations in markets around the world, while its advertising tools help businesses reach audiences based on factors such as interests, activity and demographics.

Through its Reality Labs division, Meta develops virtual and augmented reality hardware, software and services, including the Meta Quest line of headsets and related experiences.

Recommended Stories Five stocks we like better than Meta Platforms Six Flags Launches FlexPay—Is There Any FUN Left in the Stock? Brewing Trouble? Starbucks Spills the Beans on 250 Store Closures Stitch Fix Stock Plunges as Guidance Puts the Turnaround on Pause Harley-Davidson Insiders Are Buying: Is HOG Finally Turning Around? Want to see what other hedge funds are holding META? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Meta Platforms, Inc. (NASDAQ:META – Free Report).

Receive News & Ratings for Meta Platforms Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Meta Platforms and related companies with MarketBeat.com's FREE daily email newsletter.

Second Line Capital LLC lessened its stake in Meta Platforms, Inc. (NASDAQ:META – Free Report) by 81.7% in the 2nd quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 1,397 shares of the social networking company’s stock after selling 6,219 shares during the quarter. Second Line Capital LLC’s holdings in Meta Platforms were worth $787,000 at the end of the most recent reporting period.

Several other large investors have also recently made changes to their positions in the company. RHL Group LLC purchased a new position in Meta Platforms during the fourth quarter worth approximately $28,000. Advantage Trust Co acquired a new stake in shares of Meta Platforms during the second quarter worth about $28,000. Niles Investment Management LLC purchased a new position in Meta Platforms in the 4th quarter valued at approximately $29,000. Philadelphia Investment Partners LLC purchased a new position in Meta Platforms in the second quarter valued at $32,000. Finally, Axiom Investment Management LLC purchased a new position in shares of Meta Platforms in the 1st quarter valued at about $36,000. 79.91% of the stock is currently owned by hedge funds and other institutional investors.

Meta Platforms Stock Down 4.8% Shares of NASDAQ:META opened at $715.62 on Tuesday. The stock’s 50-day moving average price is $616.56 and its two-hundred day moving average price is $613.27. The company has a current ratio of 2.23, a quick ratio of 2.23 and a debt-to-equity ratio of 0.32. Meta Platforms, Inc. has a 12-month low of $520.26 and a 12-month high of $779.82. The firm has a market cap of $1.82 trillion, a price-to-earnings ratio of 26.95, a PEG ratio of 1.31 and a beta of 1.25.

Meta Platforms (NASDAQ:META – Get Free Report) last posted its quarterly earnings results on Wednesday, July 29th. The social networking company reported $6.18 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $7.19 by ($1.01). Meta Platforms had a net margin of 29.83% and a return on equity of 33.18%. The firm had revenue of $60.80 billion for the quarter, compared to analysts’ expectations of $60.22 billion. During the same period last year, the firm posted $7.14 EPS. Meta Platforms’s revenue was up 28.0% on a year-over-year basis. On average, research analysts forecast that Meta Platforms, Inc. will post 27.93 EPS for the current year. Meta Platforms Dividend Announcement The firm also recently disclosed a quarterly dividend, which was paid on Monday, September 28th. Shareholders of record on Monday, September 21st were paid a dividend of $0.5250 per share. This represents a $2.10 dividend on an annualized basis and a yield of 0.3%. The ex-dividend date was Monday, September 21st. Meta Platforms’s dividend payout ratio (DPR) is 7.91%.

Meta Platforms News Summary Here are the key news stories impacting Meta Platforms this week:

Positive Sentiment: Meta launched the Meta Enterprise Platform, offering businesses and developers access to its Muse AI agent, Business Agent, Muse API and Muse Code. The company hired MongoDB CEO Chirantan “CJ” Desai to lead the initiative, signaling an effort to generate revenue from its multibillion-dollar AI investments beyond advertising. Meta launches enterprise AI platform Positive Sentiment: Muse’s integration across Facebook, Instagram, Messenger and WhatsApp is supporting rapid user adoption; the AI-powered app reportedly reached the top spot in the U.S. App Store. Analysts also see potential revenue from subscriptions, transaction fees, enterprise tools and commercial API licensing. Meta Platforms boosts ad engagement with AI Positive Sentiment: Monness Crespi & Hardt raised its price target on META to $830 from $730 and maintained a Buy rating, citing the company’s AI opportunity and expanding ecosystem. AI improvements are also reportedly increasing ad engagement, clicks and conversions. Meta Platforms price target raised Neutral Sentiment: Investors remain divided over Meta’s AI strategy. Bullish analysts expect new AI agents, smart glasses and enterprise software to create additional revenue streams, while others question whether the returns will justify the investment. Negative Sentiment: Capital expenditures rose sharply to $31.1 billion in the second quarter from $19.4 billion a year earlier. The scale of data-center and AI spending is raising concerns about returns on capital and near-term margins. Meta Platforms: Are You Going to Buy the Promise? Negative Sentiment: Reports that OpenAI is developing a competing AI assistant intensified competitive concerns. Separately, alleged Muse disclosures of private messages and a user’s address have triggered privacy and safety criticism, potentially creating regulatory and reputational risks. Elon Musk amplifies privacy concerns over Muse Negative Sentiment: Meta also faces legal and political overhang after a New Mexico jury found that Facebook misled residents about personal-data practices, while lawmakers are questioning AI and data-center tax subsidies. Recent gains have additionally left the valuation less compelling, increasing sensitivity to execution disappointments. Insider Buying and Selling In other Meta Platforms news, COO Javier Olivan sold 946 shares of the firm’s stock in a transaction dated Monday, September 21st. The shares were sold at an average price of $680.27, for a total value of $643,535.42. Following the transaction, the chief operating officer owned 9,770 shares of the company’s stock, valued at $6,646,237.90. This trade represents a 8.83% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Christopher K. Cox sold 40,000 shares of the stock in a transaction dated Monday, September 21st. The stock was sold at an average price of $712.76, for a total transaction of $28,510,400.00. Following the completion of the sale, the insider directly owned 184,516 shares in the company, valued at approximately $131,515,624.16. This trade represents a 17.82% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 150,807 shares of company stock worth $102,155,232. Insiders own 13.53% of the company’s stock.

Analyst Upgrades and Downgrades A number of equities analysts recently commented on the stock. Monness Crespi & Hardt boosted their target price on shares of Meta Platforms from $730.00 to $830.00 and gave the stock a “buy” rating in a research note on Monday. Royal Bank Of Canada reiterated an “outperform” rating and issued a $770.00 price target on shares of Meta Platforms in a research report on Thursday, September 24th. Canaccord Genuity Group lifted their target price on Meta Platforms from $930.00 to $950.00 and gave the company a “buy” rating in a research note on Friday. DA Davidson dropped their price target on shares of Meta Platforms from $850.00 to $700.00 and set a “buy” rating on the stock in a research note on Thursday, July 30th. Finally, Scotiabank reiterated a “sector perform” rating and issued a $600.00 price objective (down from $700.00) on shares of Meta Platforms in a research report on Thursday, July 30th. Three analysts have rated the stock with a Strong Buy rating, forty-four have assigned a Buy rating and ten have issued a Hold rating to the stock. According to data from MarketBeat.com, Meta Platforms currently has an average rating of “Moderate Buy” and an average target price of $787.86.

Read Our Latest Stock Analysis on Meta Platforms

Meta Platforms Profile (Free Report)

Meta Platforms, Inc is a technology company that develops social networking, messaging, virtual and augmented reality, and artificial intelligence products. The company operates a global family of apps that includes Facebook, Instagram, Messenger, WhatsApp and Threads, enabling users to connect, communicate, share content and discover communities.

Meta generates most of its business through digital advertising displayed across its platforms. Its products serve individuals, creators, businesses and organizations in markets around the world, while its advertising tools help businesses reach audiences based on factors such as interests, activity and demographics.

Through its Reality Labs division, Meta develops virtual and augmented reality hardware, software and services, including the Meta Quest line of headsets and related experiences.

See Also Five stocks we like better than Meta Platforms Six Flags Launches FlexPay—Is There Any FUN Left in the Stock? Brewing Trouble? Starbucks Spills the Beans on 250 Store Closures Stitch Fix Stock Plunges as Guidance Puts the Turnaround on Pause Harley-Davidson Insiders Are Buying: Is HOG Finally Turning Around? Want to see what other hedge funds are holding META? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Meta Platforms, Inc. (NASDAQ:META – Free Report).

Receive News & Ratings for Meta Platforms Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Meta Platforms and related companies with MarketBeat.com's FREE daily email newsletter.

Waverly Advisors LLC lifted its stake in shares of Meta Platforms, Inc. (NASDAQ:META – Free Report) by 1.2% during the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 96,092 shares of the social networking company’s stock after purchasing an additional 1,182 shares during the quarter. Waverly Advisors LLC’s holdings in Meta Platforms were worth $54,128,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors have also added to or reduced their stakes in the stock. Fairtree Asset Management Pty Ltd boosted its stake in shares of Meta Platforms by 18.6% during the second quarter. Fairtree Asset Management Pty Ltd now owns 18,777 shares of the social networking company’s stock valued at $10,577,000 after purchasing an additional 2,939 shares in the last quarter. Madison Wealth Partners Inc increased its stake in shares of Meta Platforms by 33.6% in the second quarter. Madison Wealth Partners Inc now owns 3,031 shares of the social networking company’s stock valued at $1,707,000 after buying an additional 763 shares during the period. William John Sempolinski bought a new position in Meta Platforms in the 2nd quarter valued at approximately $3,107,000. Sone Capital Management LLC boosted its position in Meta Platforms by 38.2% during the 2nd quarter. Sone Capital Management LLC now owns 16,059 shares of the social networking company’s stock worth $9,046,000 after buying an additional 4,440 shares during the period. Finally, Lakewood Capital Management LP increased its position in Meta Platforms by 63.7% in the 2nd quarter. Lakewood Capital Management LP now owns 115,985 shares of the social networking company’s stock valued at $65,333,000 after acquiring an additional 45,130 shares during the period. 79.91% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth A number of analysts recently weighed in on the company. Robert W. Baird decreased their price objective on Meta Platforms from $830.00 to $750.00 and set an “outperform” rating for the company in a report on Thursday, July 30th. Wolfe Research reiterated an “outperform” rating and issued a $700.00 price target on shares of Meta Platforms in a research report on Thursday, July 30th. Royal Bank Of Canada reissued an “outperform” rating and set a $770.00 target price on shares of Meta Platforms in a research report on Thursday, September 24th. Tigress Financial reiterated a “strong-buy” rating and set a $945.00 price target (down from $995.00) on shares of Meta Platforms in a report on Thursday. Finally, China Renaissance decreased their target price on Meta Platforms from $825.00 to $700.00 and set a “buy” rating for the company in a research note on Friday, July 31st. Three analysts have rated the stock with a Strong Buy rating, forty-four have assigned a Buy rating and ten have given a Hold rating to the company. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $787.86.

Get Our Latest Report on Meta Platforms Insider Activity In other news, CTO Andrew Bosworth sold 7,848 shares of the business’s stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $558.00, for a total transaction of $4,379,184.00. Following the completion of the sale, the chief technology officer directly owned 828 shares of the company’s stock, valued at $462,024. The trade was a 90.46% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Mark Zuckerberg sold 27,474 shares of the company’s stock in a transaction dated Thursday, September 24th. The stock was sold at an average price of $777.44, for a total transaction of $21,359,386.56. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 150,807 shares of company stock valued at $102,155,232. 13.53% of the stock is currently owned by insiders.

Meta Platforms News Roundup Here are the key news stories impacting Meta Platforms this week:

Positive Sentiment: Meta launched the Meta Enterprise Platform, offering businesses and developers access to its Muse AI agent, Business Agent, Muse API and Muse Code. The company hired MongoDB CEO Chirantan “CJ” Desai to lead the initiative, signaling an effort to generate revenue from its multibillion-dollar AI investments beyond advertising. Meta launches enterprise AI platform Positive Sentiment: Muse’s integration across Facebook, Instagram, Messenger and WhatsApp is supporting rapid user adoption; the AI-powered app reportedly reached the top spot in the U.S. App Store. Analysts also see potential revenue from subscriptions, transaction fees, enterprise tools and commercial API licensing. Meta Platforms boosts ad engagement with AI Positive Sentiment: Monness Crespi & Hardt raised its price target on META to $830 from $730 and maintained a Buy rating, citing the company’s AI opportunity and expanding ecosystem. AI improvements are also reportedly increasing ad engagement, clicks and conversions. Meta Platforms price target raised Neutral Sentiment: Investors remain divided over Meta’s AI strategy. Bullish analysts expect new AI agents, smart glasses and enterprise software to create additional revenue streams, while others question whether the returns will justify the investment. Negative Sentiment: Capital expenditures rose sharply to $31.1 billion in the second quarter from $19.4 billion a year earlier. The scale of data-center and AI spending is raising concerns about returns on capital and near-term margins. Meta Platforms: Are You Going to Buy the Promise? Negative Sentiment: Reports that OpenAI is developing a competing AI assistant intensified competitive concerns. Separately, alleged Muse disclosures of private messages and a user’s address have triggered privacy and safety criticism, potentially creating regulatory and reputational risks. Elon Musk amplifies privacy concerns over Muse Negative Sentiment: Meta also faces legal and political overhang after a New Mexico jury found that Facebook misled residents about personal-data practices, while lawmakers are questioning AI and data-center tax subsidies. Recent gains have additionally left the valuation less compelling, increasing sensitivity to execution disappointments. Meta Platforms Stock Down 4.8% Shares of NASDAQ:META opened at $715.62 on Tuesday. The business’s 50 day simple moving average is $616.56 and its two-hundred day simple moving average is $613.27. The firm has a market cap of $1.82 trillion, a P/E ratio of 26.95, a PEG ratio of 1.31 and a beta of 1.25. The company has a debt-to-equity ratio of 0.32, a quick ratio of 2.23 and a current ratio of 2.23. Meta Platforms, Inc. has a 52-week low of $520.26 and a 52-week high of $779.82.

Meta Platforms (NASDAQ:META – Get Free Report) last released its quarterly earnings data on Wednesday, July 29th. The social networking company reported $6.18 EPS for the quarter, missing the consensus estimate of $7.19 by ($1.01). Meta Platforms had a net margin of 29.83% and a return on equity of 33.18%. The firm had revenue of $60.80 billion for the quarter, compared to the consensus estimate of $60.22 billion. During the same quarter in the prior year, the firm earned $7.14 EPS. The company’s revenue was up 28.0% compared to the same quarter last year. As a group, research analysts forecast that Meta Platforms, Inc. will post 27.93 EPS for the current fiscal year.

Meta Platforms Announces Dividend The firm also recently disclosed a quarterly dividend, which was paid on Monday, September 28th. Shareholders of record on Monday, September 21st were issued a dividend of $0.5250 per share. The ex-dividend date was Monday, September 21st. This represents a $2.10 annualized dividend and a yield of 0.3%. Meta Platforms’s dividend payout ratio is presently 7.91%.

Meta Platforms Company Profile (Free Report)

Meta Platforms, Inc is a technology company that develops social networking, messaging, virtual and augmented reality, and artificial intelligence products. The company operates a global family of apps that includes Facebook, Instagram, Messenger, WhatsApp and Threads, enabling users to connect, communicate, share content and discover communities.

Meta generates most of its business through digital advertising displayed across its platforms. Its products serve individuals, creators, businesses and organizations in markets around the world, while its advertising tools help businesses reach audiences based on factors such as interests, activity and demographics.

Through its Reality Labs division, Meta develops virtual and augmented reality hardware, software and services, including the Meta Quest line of headsets and related experiences.

See Also Five stocks we like better than Meta Platforms Six Flags Launches FlexPay—Is There Any FUN Left in the Stock? Brewing Trouble? Starbucks Spills the Beans on 250 Store Closures Stitch Fix Stock Plunges as Guidance Puts the Turnaround on Pause Harley-Davidson Insiders Are Buying: Is HOG Finally Turning Around?

Receive News & Ratings for Meta Platforms Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Meta Platforms and related companies with MarketBeat.com's FREE daily email newsletter.

Meta Platforms has been investing heavily in artificial intelligence (AI) and recently launched many different subscription options related to AI. AI could unlock a new growth opportunity for the business, although there is a growing amount of competition.

Meta announced on Tuesday that it’s expanding its AI agent Muse to small businesses and adding new integrations including Shopify, Dropbox, Slack, and more. The tech giant says the agent can help owners run their business and find new customers.

By plugging Muse into the software that small business owners are already using to manage sales, operations, and marketing, Meta is betting that an AI agent with context of a company’s whole operation will be more useful than a standalone chatbot, as it continues to compete against rivals like OpenAI and Google.

Muse can also link to Instagram professional account analytics, Facebook Pages, and Meta ad accounts. Meta says the AI agent also knows what a business sells, how a brand sounds, and what customers ask about most.

Additional integrations include Asana, Box, Canva, Figma, Granola, HighLevel, Intuit QuickBooks, Klaviyo, Lovable, Notion, Stripe, and Zoom.

Muse for Small Business is available for free with usage limits. Businesses that want more usage can purchase a subscription plan.

Image Credits:Meta / “Small businesses have been growing on our apps for nearly two decades,” Meta wrote in a blog post. “They told us they’re short on hours, not ideas. So we built Muse for Small Business to help get work done with the tools they already use.”

Meta has been focused on expanding its AI tools beyond the consumer and into the enterprise market. The launch of Muse for Small Business comes a day after Meta introduced “Meta Enterprise Platform,” a new initiative aimed at expanding the company’s AI offerings to businesses and corporate customers. The move could help Meta see a return on all the money it’s pouring into AI.

The tech giant hired Chirantan “CJ” Desai, the CEO of database software giant MongoDB, to lead the new initiative.

Meta says it will focus on bringing its full technology stack, including Muse, Meta Business Agent, Muse API, Muse Code, and more, to businesses and developers.

The rollout of Meta Enterprise Platform is built on the momentum of Muse, which launched earlier this month and topped the U.S. and Canada app charts ahead of ChatGPT.

When you purchase through links in our articles, we may earn a small commission. This doesn’t affect our editorial independence.

Aisha is a consumer news reporter at TechCrunch. Prior to joining the publication in 2021, she was a telecom reporter at MobileSyrup. Aisha holds an honours bachelor’s degree from University of Toronto and a master’s degree in journalism from Western University.

You can contact or verify outreach from Aisha by emailing [email protected] or via encrypted message at aisha_malik.01 on Signal.

Coming off the successful launch of its Muse AI agent, Meta is now pushing its new artificial intelligence service into the business world.

Meta on Tuesday unveiled Muse for Small Business that connects its agent to popular software from companies like Asana, Zoom, Intuit, Box, Canva and Salesforce's Slack. The agent can also link to Meta ad accounts and professional Instagram and Facebook profiles.

The company didn't offer details on pricing, but referred at the bottom of its blog post to the existing Muse app, which is free with usage limits and available on a subscription basis beyond that.

The news follows the company's Monday announcement that it will launch a new enterprise platform, poaching MongoDB CEO CJ Desai to run it. That platform will include a Muse agent, business agent and a coding tool.

Meta has enjoyed a banner month on Wall Street, with the stock up 25% in September, though it sold off some the past two trading days. The momentum followed the Sept. 8 rollout of Muse, which shot up to the top of Apple's App Store, surpassing ChatGPT. Evercore's Mark Mahaney told CNBC he expects Muse to reach 100 million users within six to 12 months.

Meta's stock price

"Give Muse a goal — like running your business or finding new customers — and it gets it done," the company said in Tuesday's post.

Long reliant on digital ads for almost all of his company's revenue, Meta CEO Mark Zuckerberg has committed to finding business opportunities with AI, especially after paying billions of dollars last year for top AI talent, most notably Scale AI founder Alexandr Wang, who's leading the company's efforts. Wang's group started launching new AI models under the Muse Spark family in April.

At Meta Connect last week, Zuckerberg described Muse as the "centerpiece" of his AI strategy.

Meta's latest announcement comes at the same time that OpenAI is holding its developer day. It's the latest sign that the company intends to take on OpenAI and rival Anthropic in the enterprise.

The social media giant already has a strong foothold when it comes to small businesses, as 200 million of them can be found on Facebook, the company says.

"Small businesses have been growing on our apps for nearly two decades," Meta said in the blog post. "They told us they're short on hours, not ideas. So we built Muse for Small Business to help get work done with the tools they already use."

watch now

Meta Platforms (META.O) is expanding its AI agent Muse to small businesses, adding integrations with ​tools such as Shopify, QuickBooks, Stripe and ‌Canva to help owners run their businesses and find new customers, as the Facebook-parent aims to diversify ​its revenue beyond advertising.

Here are more details:

Muse ​for Small Business can connect with Instagram ⁠professional account analytics, Facebook Pages and Meta ​ad accounts, as well as tools including Asana, ​Box, Dropbox, Figma, Klaviyo, Notion, Slack and Zoom.

Meta said Muse can connect to dozens of business tools, allowing it ​to work with a company's brand, storefront, ​books and customer records.

The company said Muse will not ‌publish ⁠content, send messages or make purchases without a user's approval.

Meta said Muse is free for most uses, while subscription plans will be available for ​users seeking ​additional features.

Muse, ⁠which Meta launched earlier this month, is a personal AI agent designed ​to complete tasks including shopping, travel booking, ​emailing ⁠and payments on users' behalf.

The app has topped free-app charts in the US and Canada in recent ⁠weeks ​with market intelligence firm Sensor ​Tower estimated Muse recorded about 2.8 million downloads in its ​first two weeks.

Australia's Firmus said on Tuesday it had signed AI infrastructure ​agreements with Facebook parent Meta ‌Platforms (META.O) for graphics processing unit compute capacity at its data centre facilities ​in Southeast Asia.

Here are ​some more details:

Under the deal, Firmus ⁠will provide contracted capacity and ​expansion options built on Nvidia's ​full-stack DSX platform to support Meta's AI research, model development and training.

Financial terms ​of the agreement were not ​disclosed.

The deal builds on Meta's existing deployment ‌of ⁠Nvidia GB300 NVL72 systems at Firmus' Melbourne data centre, the largest deployment of Blackwell Ultra systems ​in the ​Southern Hemisphere.

Firmus ⁠designs, manufactures and operates AI factories to support ​large-scale workloads.

The company is ​preparing ⁠for a $5 billion initial public offering to fund growth in AI ⁠projects, ​in what could be ​Australia's second-largest IPO.

The more data you hand over, the more this talented personal assistant can do for you.

Meta Platforms (META) being able to connect its Muse AI agent with its greater ecosystem through platforms like Whatsapp strengthens the Mag 7 giant's AI earnings potential and audience outlook, says Ali Mogharabi. The problem?

CNET Editor at Large Scott Stein gets hands-on with Meta's latest devices at its Meta Connect event. Scott dives into all the major takeaways, comparing Meta's upcoming hardware to the rest of the wearable and spatial computing landscape, and looking ahead to what the future might look like.

Meta Platforms META stock fell 4.7% to $715.62 on Monday as investors weighed the potential competitive impact of a new artificial intelligence assistant reportedly being developed by OpenAI.

The decline came after a Sept. 27 report from BleepingComputer said OpenAI is preparing an always-on AI assistant, reportedly called “o,” that could operate as a cloud-based agent capable of handling long-horizon tasks, including email, even after users close the ChatGPT app.

OpenAI is expected to unveil the product at its DevDay 2026 keynote on Tuesday, Sept. 29.

The development comes after Meta shares gained roughly 30% in September, driven largely by the early performance of the company’s Muse AI agent.

Meta’s Muse has emerged as a key part of the company’s AI strategy since its launch on Sept. 8.

The app has accumulated more than 3.4 million downloads and reached the top position on the US App Store, surpassing ChatGPT.

The strong early adoption helped push Meta stock toward its 52-week high of $779.82 and prompted analysts to raise their price targets.

Wells Fargo recently increased its price target for Meta to $796 from $640, citing the strength of the Muse launch.

Citi analyst Ronald Josey said Muse is “emerging as the centerpiece of Meta’s AI product strategy,” with integrations spanning shopping, travel and productivity.

The reported OpenAI product could therefore introduce additional competition in an area that has recently supported Meta’s stock performance.

The potential launch also comes as Meta seeks to expand its AI offerings beyond its consumer-focused products.

Meta announced the launch of Meta Enterprise Platform on Monday, creating a new business focused on helping companies deploy the company’s AI technology.

Meta CEO Mark Zuckerberg described the platform as the company’s “next major pillar.”

The initiative will combine Meta’s AI models, agents and computing infrastructure with its existing relationships with businesses.

The platform will initially provide businesses and developers with access to Meta’s broader AI technology stack. This includes the Muse agent, Meta Business Agent, Muse API and Muse Code.

Meta said the tools are designed to help companies use AI to grow their businesses and improve operations.

The move expands the company’s AI ambitions into enterprise technology alongside its existing consumer products, advertising and social media businesses.

Zuckerberg said Meta already serves billions of consumers and helps hundreds of millions of businesses reach customers.

Meta has appointed Chirantan “CJ” Desai as chief enterprise platform officer. Desai will report directly to Zuckerberg.

Desai joins Meta from MongoDB, where he was president and CEO.

He previously led product and engineering at Cloudflare and spent nearly eight years at ServiceNow, including as president and chief operating officer.

Zuckerberg pointed to Desai’s experience across AI, infrastructure, business software and cybersecurity.

Desai said Meta Enterprise Platform would focus on turning Meta’s AI technology stack into products and services that businesses can deploy directly.

He added that security and privacy would be built into the platform from the beginning, following Meta’s approach with its Muse technology.

Meta said its longer-term goal is to become a platform that businesses can use to scale operations as AI changes areas including customer service and innovation.

The enterprise push gives investors another part of Meta’s AI strategy to assess as competition from OpenAI and other AI companies develops.

Key Takeaways Meta's Family of Apps ad revenues rose 27% year over year to $59.4 billion in the second quarter. META's advanced AI models boosted Facebook ad clicks 8.3% and conversions 15.7% in the second quarter. Meta's Advantage AI advertising solutions surpassed a $75 billion annual revenue run rate in the quarter. Meta Platforms (META - Free Report) is benefiting from its strategic investments in artificial intelligence, which are driving significant improvements in ad engagement and business performance. The company’s focus on integrating AI into its platforms — Facebook, WhatsApp, Instagram, Messenger, and Threads — is driving user as well as advertising engagement. In the second quarter of 2026, Family of Apps ad revenues increased 27% year over year to $59.4 billion. Ad impressions rose 14%, while the average price per ad increased 12%, partly reflecting improved ad performance.

AI-powered recommendation and ranking systems are strengthening engagement across META’s platforms. Instagram time spent grew double digits year over year, while Facebook video time spent increased 9% globally. Meta Platforms is using large language models to better understand content and user preferences, enabling more personalized recommendations across Feed and Reels.

In the second quarter of 2026, the deployment of Meta Generative Recommender and other advanced models led to an 8.3% increase in ad clicks and a 15.7% uplift in conversions on Facebook. More than 9 million small businesses now use at least one of Meta’s AI-powered ad creative tools. Its Advantage+ AI-powered advertising solutions also surpassed a $75 billion annual revenue run rate in the quarter, highlighting growing advertiser adoption.

Meta Platforms expects continued gains from AI-powered recommendations and advertising optimization. With strong user engagement, expanding AI capabilities, and a massive advertiser base, Meta Platforms appears well positioned to maintain its advertising momentum. For the third quarter of 2026, the company expects revenues between $61 billion and $64 billion.

How Competitors Fare Against METADespite Meta Platforms’ expanding portfolio, the company faces stiff competition from Reddit (RDDT - Free Report) and Snap (SNAP - Free Report) . Both companies are expanding their footprint in the AI space.

Reddit Max is emerging as a key AI-driven growth catalyst. The launch and rapid adoption of Reddit Max, an AI-driven suite for ad automation and optimization, has delivered significant results. Advertiser usage of Max grew by more than 60% in the second quarter of 2026 from the first quarter of 2026, and revenues from Max campaigns increased by more than 150%. Features like tailored creatives and dynamic product ads are helping brands achieve better outcomes, such as Lenovo’s 40% higher purchase value with Max campaigns compared to standard campaigns.

Snap’s flagship product, Snapchat, reached 971 million monthly active users and 493 million daily active users in the second quarter of 2026, driven by continued adoption of Augmented Reality Lenses, Spotlight and AI-powered features. Key growth drivers include its AI-powered Smart Campaign Solutions, AI Sponsored Snaps, Sponsored Snaps and Dynamic Product Ads.

META’s Share Price Performance, Valuation, and EstimatesMETA’s shares have rallied 13.8% in the year-to-date period, underperforming the broader Zacks Computer & Technology sector’s return of 22.5%.

META Stock Performance
Image Source: Zacks Investment Research

META shares are overvalued, with a forward 12-month Price/Sales of 8.36X compared with the Internet Software industry’s 5.52X. META has a Value Score of C.

META Valuation
Image Source: Zacks Investment Research

The Zacks Consensus Estimate for 2026 earnings is pegged at $31.38 per share, which has decreased 1.07% over the past 30 days. This suggests 33.59% year-over-year growth.

Meta Platforms currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Shares of data platform company MongoDB dropped Monday on news that its CEO is leaving.

Meta's AI app just dethroned ChatGPT without outperforming it on a single benchmark, and the reason behind that upset has Wall Street rethinking what actually gives a tech giant an edge in the AI race.

This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

Meta (NASDAQ:META | META Price Prediction) took the No. 1 free spot on the US App Store with its Muse-powered AI app. It moved ahead of ChatGPT, Claude, and Grok even though Muse trails the frontier models on performance. One number explains the upset: Family Daily Active People (DAP). DAP counts the unique users who open Facebook, Instagram, Messenger, or WhatsApp each day. It reached 3.60 billion in Q2 2026, up 3% YoY.

Why Distribution Wins Over Benchmarks Revenue and earnings show what Meta already makes money from. DAP shows how quickly Meta can put a new product in front of people. AI-native rivals have to win each install through marketing and word of mouth. Meta can promote its assistant inside apps that billions of people already open every day, so any new AI product it releases starts with a built-in audience.

The launch data shows that head start. According to Sensor Tower, the app logged 730K downloads in its first 5 days. Apptopia counted 1.8M iOS downloads across the US and Canada in 12 days, vs 1.3M for ChatGPT over the same stretch. It also counted 642K daily active US users, nearly 3x ChatGPT’s 231K at the same point post launch.

Management’s own figures point the same way. Since rebuilding Meta AI and integrating Muse Spark, Meta has seen “a 60% increase in the number of people interacting with the assistant each day”. WhatsApp is “already the leading surface where people engage with Meta AI.” A 24/7 Wall St. podcast host summed up the edge: “They have the distribution of everyone signed up so they can plug AI into their products.”

DAP Is Near Its Peak, but Growth Is Slowing DAP keeps rising in total, but its growth rate has cooled off for four straight quarters:

Quarter DAP YoY Growth Q3 2025 3.54 billion +8% Q4 2025 3.58 billion +7% Q1 2026 3.56 billion +4% Q2 2026 3.60 billion +3% More of the growth now comes from engagement per user. In Q2, ad impressions rose 14% and average price per ad climbed 12%. Instagram time spent grew double digits, and Facebook video time rose 9% globally. Serving AI to that audience is expensive. Meta raised its 2026 capex outlook to $130-145B, and Q2 free cash flow fell to $784M from $8.55B a year earlier.

What to Watch Before Meta’s Next Report Bullish: DAP growth holds steady while Meta AI daily users keep climbing, which would show the funnel still has room. Other good signs would be more adoption of Business Agents, already used by more than 1 million businesses, and more growth in Family of Apps other revenue. That line reached $1 billion for the first time, up 73%. Bearish: DAP growth drops off below its current pace, which would suggest Meta’s audience is close to its ceiling. Another warning sign would be Muse app use fading once launch promotion ends. Recent coverage has also focused on AI overspending fears. Expectations are rising. Shares trade at $734.49 in premarket trading, up 27.57% over the past month. Management has guided Q3 revenue to $61-64B.

Verdict: Reach Is Meta’s Real AI Moat Muse reached No. 1 because 3.6 billion people open a Meta app every day, and that reach will shape Meta’s AI results more than any model benchmark.

Contact [email protected] for any questions or corrections.

Varenne Capital Partners bought a new stake in Meta Platforms, Inc. (NASDAQ:META – Free Report) during the second quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm bought 4,080 shares of the social networking company’s stock, valued at approximately $65,000. Meta Platforms comprises about 0.0% of Varenne Capital Partners’ portfolio, making the stock its 29th biggest holding.

A number of other institutional investors have also recently added to or reduced their stakes in META. Henrickson Nauta Wealth Advisors Inc. grew its position in Meta Platforms by 35.8% during the second quarter. Henrickson Nauta Wealth Advisors Inc. now owns 2,064 shares of the social networking company’s stock valued at $1,163,000 after acquiring an additional 544 shares during the period. Kintra Wealth LLC raised its holdings in shares of Meta Platforms by 7.6% in the 2nd quarter. Kintra Wealth LLC now owns 6,503 shares of the social networking company’s stock worth $3,869,000 after purchasing an additional 457 shares during the period. Morling Financial Advisors LLC lifted its stake in shares of Meta Platforms by 5.0% in the 2nd quarter. Morling Financial Advisors LLC now owns 1,590 shares of the social networking company’s stock valued at $896,000 after purchasing an additional 76 shares in the last quarter. Endeavor Private Wealth Inc. lifted its stake in shares of Meta Platforms by 4.2% in the 2nd quarter. Endeavor Private Wealth Inc. now owns 3,985 shares of the social networking company’s stock valued at $2,245,000 after purchasing an additional 160 shares in the last quarter. Finally, Sovereign Investment Advisors LLC grew its holdings in shares of Meta Platforms by 6.0% during the 2nd quarter. Sovereign Investment Advisors LLC now owns 879 shares of the social networking company’s stock worth $495,000 after purchasing an additional 50 shares during the period. Hedge funds and other institutional investors own 79.91% of the company’s stock.

Wall Street Analyst Weigh In Several research firms recently commented on META. Roth Capital cut their price target on shares of Meta Platforms from $820.00 to $750.00 and set a “buy” rating on the stock in a report on Monday, August 3rd. Moffett Nathanson decreased their price target on shares of Meta Platforms from $800.00 to $740.00 and set a “buy” rating for the company in a research report on Thursday, July 30th. Citic Securities decreased their price target on shares of Meta Platforms from $770.00 to $718.00 and set a “buy” rating for the company in a research report on Monday, August 3rd. Guggenheim reiterated a “buy” rating and issued a $800.00 price target on shares of Meta Platforms in a report on Tuesday, July 28th. Finally, Wolfe Research reissued an “outperform” rating and issued a $700.00 price objective on shares of Meta Platforms in a research report on Thursday, July 30th. Three investment analysts have rated the stock with a Strong Buy rating, forty-four have assigned a Buy rating and ten have given a Hold rating to the company’s stock. Based on data from MarketBeat, Meta Platforms has a consensus rating of “Moderate Buy” and a consensus price target of $785.90.

View Our Latest Research Report on Meta Platforms Insider Activity In other Meta Platforms news, CTO Andrew Bosworth sold 7,848 shares of the stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $558.00, for a total transaction of $4,379,184.00. Following the sale, the chief technology officer directly owned 828 shares of the company’s stock, valued at approximately $462,024. This represents a 90.46% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Aaron Anderson sold 3,240 shares of the stock in a transaction on Thursday, September 3rd. The stock was sold at an average price of $618.06, for a total transaction of $2,002,514.40. Following the sale, the chief accounting officer directly owned 6,271 shares in the company, valued at $3,875,854.26. This trade represents a 34.07% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 123,333 shares of company stock valued at $80,795,845 over the last three months. 13.53% of the stock is currently owned by company insiders.

Key Headlines Impacting Meta Platforms Here are the key news stories impacting Meta Platforms this week:

Positive Sentiment: Muse momentum remains the main bullish catalyst. Early reviews, rising user traction and Meta’s new early-access program for upcoming Muse features are reinforcing expectations that the AI assistant could become a major consumer product and future revenue stream. Meta opens early access program for new Muse features Positive Sentiment: Analysts are raising price targets. Deutsche Bank, TD Cowen, Canaccord Genuity and other firms lifted targets and maintained bullish ratings, citing Muse’s potential to expand Meta beyond advertising through subscriptions, commerce and AI services. Meta price targets raised as Muse gains momentum Positive Sentiment: AI hardware could broaden Muse’s distribution. Meta is integrating Muse into Ray-Ban AI glasses and introducing additional wearable and VR products, creating potential new hardware, services and commerce opportunities. Neutral Sentiment: Friday’s decline appears largely technical. After rising roughly 36% during September and approaching a $2 trillion market value, Meta faced profit-taking and a pullback from recent highs. Bullish options activity suggests some traders continue to view the weakness as a buying opportunity. Neutral Sentiment: Large capital spending remains a key debate. Investors are encouraged by Meta’s AI strategy but remain uncertain whether heavy spending on infrastructure and Reality Labs will generate sufficient returns. Negative Sentiment: New Mexico litigation adds regulatory risk. A jury found that Meta misled state residents in a case related to the Cambridge Analytica data scandal, potentially increasing legal costs and scrutiny. Meta misled consumers in New Mexico jury case Negative Sentiment: A Muse security vulnerability was identified. Meta is adding clearer safety warnings after a vulnerability reportedly could expose sensitive user information, raising concerns about trust and adoption of its AI agent. Meta bolsters Muse safety warning after vulnerability Negative Sentiment: Competition and monetization obstacles remain. Amazon blocked Muse from accessing its platform, while privacy concerns around camera-equipped glasses and skepticism toward new AI hardware could limit Meta’s growth plans. Negative Sentiment: Insider selling adds a cautionary signal. Christopher Cox sold 40,000 shares and COO Javier Olivan sold shares under pre-arranged Rule 10b5-1 plans. The transactions do not necessarily indicate reduced confidence, but they add to concerns after the stock’s rapid advance. Meta Platforms Price Performance META stock opened at $751.66 on Monday. The company has a quick ratio of 2.23, a current ratio of 2.23 and a debt-to-equity ratio of 0.32. The stock’s 50 day moving average is $615.16 and its two-hundred day moving average is $612.83. The company has a market capitalization of $1.91 trillion, a PE ratio of 28.31, a P/E/G ratio of 1.31 and a beta of 1.25. Meta Platforms, Inc. has a 52-week low of $520.26 and a 52-week high of $779.82.

Meta Platforms (NASDAQ:META – Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The social networking company reported $6.18 EPS for the quarter, missing analysts’ consensus estimates of $7.19 by ($1.01). The company had revenue of $60.80 billion for the quarter, compared to the consensus estimate of $60.22 billion. Meta Platforms had a net margin of 29.83% and a return on equity of 33.18%. The company’s revenue was up 28.0% compared to the same quarter last year. During the same quarter last year, the company earned $7.14 earnings per share. Analysts predict that Meta Platforms, Inc. will post 27.93 earnings per share for the current fiscal year.

Meta Platforms Announces Dividend The company also recently declared a quarterly dividend, which will be paid on Monday, September 28th. Investors of record on Monday, September 21st will be given a dividend of $0.5250 per share. This represents a $2.10 annualized dividend and a dividend yield of 0.3%. The ex-dividend date of this dividend is Monday, September 21st. Meta Platforms’s dividend payout ratio is currently 7.91%.

Meta Platforms Profile (Free Report)

Meta Platforms, Inc develops technologies that help people connect, communicate and build communities online. The company’s principal products include Facebook, Instagram, Messenger, WhatsApp and Threads, which enable social networking, messaging, content sharing and digital communication.

Meta generates most of its business through advertising displayed across its family of apps. It also develops artificial intelligence technologies, business messaging tools and hardware and software through its Reality Labs division, including Quest virtual- and mixed-reality devices and related experiences.

The company was founded as Facebook in 2004 by Mark Zuckerberg and was renamed Meta Platforms in 2021 to reflect its broader focus on building the metaverse.

Read More Five stocks we like better than Meta Platforms Data Centers Got the AI Hype—But Office REITs May Get the Rent Hikes 2 Cybersecurity Stocks Breaking Out as AI Continues to Be a Tailwind 3 More AI Infrastructure Plays Beyond the Big Names CAVA Stock Slips: Sector Fear or Valuation Reality? Want to see what other hedge funds are holding META? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Meta Platforms, Inc. (NASDAQ:META – Free Report).

Receive News & Ratings for Meta Platforms Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Meta Platforms and related companies with MarketBeat.com's FREE daily email newsletter.

Styrax Capital LP lessened its stake in Meta Platforms, Inc. (NASDAQ:META – Free Report) by 43.2% in the second quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 175,000 shares of the social networking company’s stock after selling 132,981 shares during the quarter. Meta Platforms comprises 6.5% of Styrax Capital LP’s investment portfolio, making the stock its 9th biggest position. Styrax Capital LP’s holdings in Meta Platforms were worth $98,576,000 as of its most recent filing with the Securities & Exchange Commission.

Other institutional investors and hedge funds have also bought and sold shares of the company. Morling Financial Advisors LLC grew its stake in Meta Platforms by 5.0% during the second quarter. Morling Financial Advisors LLC now owns 1,590 shares of the social networking company’s stock worth $896,000 after buying an additional 76 shares in the last quarter. Endeavor Private Wealth Inc. raised its position in shares of Meta Platforms by 4.2% in the 2nd quarter. Endeavor Private Wealth Inc. now owns 3,985 shares of the social networking company’s stock valued at $2,245,000 after buying an additional 160 shares in the last quarter. Sovereign Investment Advisors LLC raised its position in shares of Meta Platforms by 6.0% in the 2nd quarter. Sovereign Investment Advisors LLC now owns 879 shares of the social networking company’s stock valued at $495,000 after buying an additional 50 shares in the last quarter. Ameliora Wealth Management Ltd. lifted its holdings in shares of Meta Platforms by 4.6% during the 2nd quarter. Ameliora Wealth Management Ltd. now owns 1,983 shares of the social networking company’s stock worth $1,117,000 after acquiring an additional 88 shares during the period. Finally, HB Wealth Management LLC lifted its holdings in shares of Meta Platforms by 17.8% during the 2nd quarter. HB Wealth Management LLC now owns 118,576 shares of the social networking company’s stock worth $66,793,000 after acquiring an additional 17,912 shares during the period. Institutional investors own 79.91% of the company’s stock.

Trending Headlines about Meta Platforms Here are the key news stories impacting Meta Platforms this week:

Positive Sentiment: Muse momentum remains the main bullish catalyst. Early reviews, rising user traction and Meta’s new early-access program for upcoming Muse features are reinforcing expectations that the AI assistant could become a major consumer product and future revenue stream. Meta opens early access program for new Muse features Positive Sentiment: Analysts are raising price targets. Deutsche Bank, TD Cowen, Canaccord Genuity and other firms lifted targets and maintained bullish ratings, citing Muse’s potential to expand Meta beyond advertising through subscriptions, commerce and AI services. Meta price targets raised as Muse gains momentum Positive Sentiment: AI hardware could broaden Muse’s distribution. Meta is integrating Muse into Ray-Ban AI glasses and introducing additional wearable and VR products, creating potential new hardware, services and commerce opportunities. Neutral Sentiment: Friday’s decline appears largely technical. After rising roughly 36% during September and approaching a $2 trillion market value, Meta faced profit-taking and a pullback from recent highs. Bullish options activity suggests some traders continue to view the weakness as a buying opportunity. Neutral Sentiment: Large capital spending remains a key debate. Investors are encouraged by Meta’s AI strategy but remain uncertain whether heavy spending on infrastructure and Reality Labs will generate sufficient returns. Negative Sentiment: New Mexico litigation adds regulatory risk. A jury found that Meta misled state residents in a case related to the Cambridge Analytica data scandal, potentially increasing legal costs and scrutiny. Meta misled consumers in New Mexico jury case Negative Sentiment: A Muse security vulnerability was identified. Meta is adding clearer safety warnings after a vulnerability reportedly could expose sensitive user information, raising concerns about trust and adoption of its AI agent. Meta bolsters Muse safety warning after vulnerability Negative Sentiment: Competition and monetization obstacles remain. Amazon blocked Muse from accessing its platform, while privacy concerns around camera-equipped glasses and skepticism toward new AI hardware could limit Meta’s growth plans. Negative Sentiment: Insider selling adds a cautionary signal. Christopher Cox sold 40,000 shares and COO Javier Olivan sold shares under pre-arranged Rule 10b5-1 plans. The transactions do not necessarily indicate reduced confidence, but they add to concerns after the stock’s rapid advance. Meta Platforms Price Performance META stock opened at $751.66 on Monday. The stock has a market cap of $1.91 trillion, a price-to-earnings ratio of 28.31, a P/E/G ratio of 1.31 and a beta of 1.25. The company has a debt-to-equity ratio of 0.32, a current ratio of 2.23 and a quick ratio of 2.23. The company has a 50 day simple moving average of $615.16 and a 200 day simple moving average of $612.83. Meta Platforms, Inc. has a 1 year low of $520.26 and a 1 year high of $779.82. Meta Platforms (NASDAQ:META – Get Free Report) last issued its earnings results on Wednesday, July 29th. The social networking company reported $6.18 earnings per share for the quarter, missing analysts’ consensus estimates of $7.19 by ($1.01). The company had revenue of $60.80 billion during the quarter, compared to analyst estimates of $60.22 billion. Meta Platforms had a net margin of 29.83% and a return on equity of 33.18%. The business’s quarterly revenue was up 28.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $7.14 EPS. Research analysts anticipate that Meta Platforms, Inc. will post 27.93 EPS for the current fiscal year.

Meta Platforms Dividend Announcement The company also recently disclosed a quarterly dividend, which will be paid on Monday, September 28th. Investors of record on Monday, September 21st will be issued a dividend of $0.5250 per share. The ex-dividend date of this dividend is Monday, September 21st. This represents a $2.10 annualized dividend and a dividend yield of 0.3%. Meta Platforms’s dividend payout ratio (DPR) is 7.91%.

Insider Buying and Selling In other Meta Platforms news, COO Javier Olivan sold 946 shares of the stock in a transaction dated Monday, September 21st. The stock was sold at an average price of $680.27, for a total value of $643,535.42. Following the completion of the transaction, the chief operating officer directly owned 9,770 shares in the company, valued at approximately $6,646,237.90. This trade represents a 8.83% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Christopher K. Cox sold 40,000 shares of the business’s stock in a transaction dated Monday, September 21st. The stock was sold at an average price of $712.76, for a total value of $28,510,400.00. Following the sale, the insider owned 184,516 shares in the company, valued at approximately $131,515,624.16. This trade represents a 17.82% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 123,333 shares of company stock worth $80,795,845 in the last 90 days. Insiders own 13.53% of the company’s stock.

Wall Street Analyst Weigh In META has been the topic of a number of recent analyst reports. Citigroup reissued an “outperform” rating on shares of Meta Platforms in a research note on Thursday. Moffett Nathanson cut their target price on Meta Platforms from $800.00 to $740.00 and set a “buy” rating for the company in a research note on Thursday, July 30th. KeyCorp raised their target price on Meta Platforms from $780.00 to $900.00 and gave the company an “overweight” rating in a report on Wednesday, September 23rd. New Street Research decreased their price target on Meta Platforms from $730.00 to $700.00 and set a “buy” rating on the stock in a research note on Friday, July 31st. Finally, Tigress Financial reissued a “strong-buy” rating and set a $945.00 price target (down from $995.00) on shares of Meta Platforms in a report on Thursday. Three research analysts have rated the stock with a Strong Buy rating, forty-four have issued a Buy rating and ten have assigned a Hold rating to the company. According to MarketBeat.com, Meta Platforms currently has an average rating of “Moderate Buy” and a consensus target price of $785.90.

Check Out Our Latest Stock Report on Meta Platforms

About Meta Platforms (Free Report)

Meta Platforms, Inc develops technologies that help people connect, communicate and build communities online. The company’s principal products include Facebook, Instagram, Messenger, WhatsApp and Threads, which enable social networking, messaging, content sharing and digital communication.

Meta generates most of its business through advertising displayed across its family of apps. It also develops artificial intelligence technologies, business messaging tools and hardware and software through its Reality Labs division, including Quest virtual- and mixed-reality devices and related experiences.

The company was founded as Facebook in 2004 by Mark Zuckerberg and was renamed Meta Platforms in 2021 to reflect its broader focus on building the metaverse.

Recommended Stories Five stocks we like better than Meta Platforms Data Centers Got the AI Hype—But Office REITs May Get the Rent Hikes 2 Cybersecurity Stocks Breaking Out as AI Continues to Be a Tailwind 3 More AI Infrastructure Plays Beyond the Big Names CAVA Stock Slips: Sector Fear or Valuation Reality?

Receive News & Ratings for Meta Platforms Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Meta Platforms and related companies with MarketBeat.com's FREE daily email newsletter.