Meta's AI Breakthroughs and Vision Propel Stock to New Heights

Meta's AI Breakthroughs Dominate Connect Event As Analyst Highlights Affordable Mixed-Reality Push - Meta Platforms (NASDAQ:META)

Despite looming Reality Labs losses, he raises Meta's price target to $640, citing strong core business support for AI and AR investment. Meta Platforms Inc. META continues to excite investors and tech enthusiasts with its AI and AR advancements. The company's latest Meta Connect event highlighted innovations in its AI assistant, AR glasses, and more affordable mixed-reality headsets, signaling Meta's ambition to shape the future of computing. AI Assistant & Ad Tools: Early Wins JPMorgan analyst Doug Anmuth notes that Meta's AI developments are already driving tangible benefits, particularly in advertising. "1M+ advertisers are leveraging Gen AI ad tools, & Gen AI ad campaigns are resulting in 11% higher click-through rates & 7.6% higher conversion rates," he says. With over 400 million monthly active users, Meta AI is on track to become the most-used AI assistant by year-end. Also Read: Elon Musk Isn't Pleased That Sam Altman Likely To Get 7% Stake After ChatGPT-Parent's Planned For-Profit Transition Happens: 'This Is Deeply Wrong' AR Glasses: Orion and Ray-Ban Meta Meta's AR efforts, led by the Orion glasses, could represent a major leap forward in computing. "Orion combines physical & virtual worlds to drive connectivity by enabling digital experiences that leverage holographic displays," says Anmuth. Though still in prototype, Meta believes Orion has the potential to be a game-changing platform. Anmuth also highlights the enhanced Ray-Ban Meta glasses, which now offer real-time translation and natural conversation features. These upgrades deepen Meta's AR ambitions and cater to gadget users looking for more practical use cases. Affordable Mixed-Reality: Quest 3S Meta's introduction of the Quest 3S, priced at $299.99, offers an affordable entry into mixed reality, with the same performance as the more expensive Quest 3. The price cuts position Meta "to reach the mass market through lower-cost devices, especially compared to Apple's Vision Pro starting at $3,499," Anmuth noted. Meta Stock Investor Takeaway Despite the innovation, Reality Labs' projected losses of $19 billion in 2024 and $23 billion in 2025 remain a concern. However, Anmuth believes Meta's strong core business justifies its heavy AI and AR investments. As a result, he raised Meta's price target from $610 to $640, reiterating an Overweight rating. Read Next: China's Stimulus Sparks Optimism: 3 Large-Cap Stocks With Analyst Buy Ratings Photo: Shutterstock Market News and Data brought to you by Benzinga APIs

Meta Stock Price Soars With $811 Target As Mark Zuckerberg Shares Key AI Vision

Rosenblatt Securities raises Meta stock price target to $811 with a buy rating. The Meta stock price has soared to an all-time high, with a flurry of renowned analysts giving a bullish outlook for the stock. Notably, it comes after Mark Zuckerberg's firm shared its AI visions in a developer event, sparking market optimism. Given the rising demand and popularity of artificial intelligence solutions, Zuckerberg's firm appears to be shifting its focus toward the industry. Meta CEO Mark Zuckerberg has recently shared key AI-focused initiatives of the firm at the annual "Meta Connect" event. During the event, the CEO revealed its plan for advanced mixed reality, AI integration, and cutting-edge wearable tech. Looking at the current Meta stock price, it appears that the unveiling of the initiatives during the event has sparked investors' optimism. The focus on Meta's AI capabilities, particularly its ambition to develop the most widely used AI assistant, is driving enthusiasm. With plans to reach 500 million monthly active users by year-end, Zuckerberg's firm is taking aggressive steps to capitalize on the AI boom. The upcoming country launches and the introduction of celebrity-voiced AI assistants, such as John Cena and Judi Dench, further emphasize Meta's commitment to leading this space. In addition, it also unveiled plans to launch several other products like the Meta Quest 3S Mixed Reality headset, now priced at $299, offering a more affordable entry into immersive tech. Besides, it also cuts the price of the Quest 3 with 512GB storage from $699 to $499, reinforcing its efforts to make virtual reality more accessible to consumers. This move signals a competitive stance in the evolving mixed reality market. Meanwhile, a key highlight was the introduction of Llama 3.2, the firm's first open-source multi-modal AI model which can interpret both images and text. This innovation is likely to become a critical player in AI-driven tools, further strengthening Meta's foothold and challenging OpenAI dominance in the space. Notably, OpenAI has recently faced criticism from figures like Elon Musk for its recent shift towards a for-profit business model. Rosenblatt Securities, in response to the recent developments, significantly raised its target for META stock price from $643 to $811, underscoring its confidence in the company's direction. This upgrade comes with a solid buy rating, suggesting that investors can expect sustained growth. On the other hand, Oppenheimer also maintained its outperform rating for the stock with a $615 target. Meanwhile, as of writing, META stock was traded near the flatline at $565.02, after touching an intraday-high of $576.88. Meanwhile, this also marks an all-time high for the company's stock, reflecting the increasing focus of the Wall Street participants towards the stock. Notably, on a YTD basis, the stock has added more than 65%, amid a growing demand for AI-related products and services. However, it's worth noting that it also comes just after Kamala Harris pledged US dominance in the AI and blockchain space.

Analysts Say Meta's Ambitions Make It a Top AI Pick

JPMorgan and Jefferies analysts said Meta's (META) AI and metaverse ambitions make it a top pick after the tech giant's Connect event keynote Wednesday, where Meta unveiled several new products and AI features. The analysts said the event showcased Meta's progress in monetizing AI and made them more bullish on the stock, with JPMorgan analysts writing Thursday that they believe Meta has "earned the right to spend big on AI," given its "early AI benefits in both engagement and monetization." Jefferies analysts added that Meta's "proven ability to successfully scale & monetize new products" added to their confidence in Meta's "new AI future." JPMorgan lifted its price objective for Meta's stock to $640 from $610, while Jefferies maintained its target of $600, representing about a 5.7% to 12.7% premium above Thursday's closing price of $567.84. Both targets were higher than the analyst consensus of $587.66 compiled by Visible Alpha, though all but one of the 31 analysts surveyed held a "buy" or equivalent rating for the stock. Meta shares finished slightly lower Thursday after hitting a record intraday high earlier in the session. They've gained about 60% since the start of the year.

Meta Analysts Highlight AI, VR Advances, See Growth Pushing It Toward Apple-Like Valuation - Meta Platforms (NASDAQ:META)

Meta's $299 Quest 3S and AI developments boost analyst confidence for 2024 growth Multiple analysts re-rated Meta Platforms Inc META after the company kicked off its annual developer conference Meta Connect with announcements including Meta's $299.99 Quest VR headset, Meta AI updates, Meta's Ray-Ban Smart Glasses updates, and Meta's new Orion glasses. JMP Securities analyst Andrew Boone maintained Meta Platforms with a Market Outperform rating and raised the price target from $550 to $635. Wedbush analyst Scott Devitt maintained Meta Platforms with an Outperform rating and a $600 price target. Oppenheimer analyst Jason Helfstein reiterated an Outperform rating on Meta Platforms and set a price target of $615. Guggenheim analyst Michael Morris maintained a Buy on Meta Platforms rating with a price target of $600. Stifel analyst Mark Kelley reiterated a Buy on Meta Platforms with a price target of $590. Rosenblatt analyst Barton Crockett maintained a Buy on Meta Platforms with a price target of $811. Also Read: Meta's AI Breakthroughs Dominate Connect Event As Analyst Highlights Affordable Mixed-Reality Push JMP Securities: The re-rating reflects Boone's increased confidence in Meta's hardware and XR product roadmap. Following Meta Connect, where the company showcased a prototype of its holographic, AI-enabled Orion glasses, the analyst noted Meta is at the forefront of a new computing platform. He flagged Meta's progress in developing AR hardware over the last five years. Boone highlighted the possibility of Orion representing the next primary consumer computing platform. Financially, he noted that computing systems have proven very valuable for Microsoft Corp MSFT (desktop) and Apple Inc AAPL (mobile). CEO Mark Zuckerberg recently said that Meta's platform could be twice as profitable if the company owned the underlying infrastructure. The analyst noted Meta's Llama models have the opportunity to take a share of search queries as usage ramps. Over time, Meta has been well positioned to monetize search, given its relationships with 200 million+ SMBs and 12 million+ active advertisers, while likely also incorporating this information into its existing ad products. With Meta's Quest 3S priced at $299 and below the slightly more feature-rich Quest 3 at $499, Meta continues to drive down hardware costs, which Boone expects to result in greater consumer adoption. Boone projects third-quarter revenue of $39.69 billion and EPS of $4.76. Wedbush: Devitt noted Meta is making encouraging progress along its AI product roadmap, with Meta AI on track to become the most used AI assistant globally by the end of this year. The analyst said Reality Labs investments are becoming more synergistic with the core business as AI becomes a central component of existing and upcoming hardware products. Oppenheimer: In the short term, Helfstein noted that the event was less impactful than last year, which focused on integrating AI into the core business and improving advertisers' ROI. The analyst said that this year, Zuckerberg spent more time discussing the company's work with Ray-Ban & fully holographic glasses demo. Guggenheim: AR Insider data indicates that total Quest unit sales across the Quest 3, Quest 2, and Quest Pro are up 13.5% through the second quarter, with 64% of sales attributable to the Quest 3, Morris noted. Given resilient consumer demand for the Quest 3 at a premium price point, the analyst expects the $299 Quest 3S to drive incremental sales as a more economical entry point into the Meta VR/AR ecosystem. He added that contributions from Meta's smart eyewear also continue to grow on the heels of a new long-term agreement with Ray-Ban maker Essilor Luxottica. Morris noted Meta as a leader in AR/VR wearable devices with solid momentum heading into the holiday season. Stifel: Overall, Kelley noted the Llama announcements and Meta AI demos as highly encouraging and evidence that Meta is well positioned in that race. The analyst also noted that the Orion prototype demos are likely illustrative of the company's broader Metaverse vision over the longer term, which might indicate that Reality Labs investments may taper off over the medium term as use cases begin to crystallize. Rosenblatt: Meta's Connect 2024 showcased how the company, driven by a willingness to invest more heavily than any competitor in VR/AR and the Metaverse, along with its strategic price-to-performance decisions, is uniquely delivering products that are leading in consumer adoption, according to Crockett. The analyst said the event highlighted how Meta continues advancing its AI capabilities. The analyst noted that the advancement of its AI capabilities is currently more critical. It is part of a positive inflection in Meta's core advertising business that is still not fully captured in the shares, even after an over 60% rise year-to-date and 90% in the last 12 months. Crockett noted Meta could trade in a year at an Apple-like P/E of 30 times forward EPS. Crockett projects third-quarter revenue of $40.86 billion and EPS of $5.75. KeyBanc: Meta's latest Connect conference focused on the progress Meta has made in AI and mixed reality devices and was largely in line with Patterson's expectations. The analyst remains encouraged by progress with the Meta AI assistant and Llama models. While Quest and Glass (Ray-Ban, Orion) are still in the early innings, he noted Meta's AI capabilities and efforts to work more with developers could help the company differentiate from competitors over time. Price Action: META stock is down 0.51% at $565.44 at last check Thursday. Also Read: Meta Connect Leaks Reveal Affordable Quest 3S, Batman Game Bundle: Report Photo: Shutterstock Market News and Data brought to you by Benzinga APIs

'Meta AI will become the most-used assistant in 2024' - JPMorgan bullish on stock By Investing.com

On Thursday, JPMorgan (NYSE:JPM) increased the price target for Meta Platforms Inc. (NASDAQ: NASDAQ:META) to $640 from $610, while maintaining an Overweight rating on the stock. The firm highlighted Meta's advancements in artificial intelligence (AI) as a key driver for the revision. According to the company's recent Meta Connect event, over one million advertisers are now using Meta's Generative AI advertising tools, which have resulted in higher click-through and conversion rates. Additionally, Meta's AI, with over 400 million monthly active users and 185 million weekly active users, is anticipated to become the world's most-used AI assistant by the end of 2024. Meta's product announcements at the event showcased the company's commitment to AI and augmented reality (AR) innovation. This includes the introduction of Meta AI enhancements like Voice and Translation, the unveiling of Orion AR glasses, the Llama 3.2 suite of models for edge and mobile devices, improvements to Ray-Ban Meta glasses with features such as Natural Conversation and Live Translation, and the Quest 3S mixed-reality headset. The firm's analysis suggests that Meta's investments in AI and the Metaverse are substantial, with no signs of reduced spending in Reality Labs. The projected losses for Reality Labs are estimated at $19 billion in 2024 and $23 billion in 2025. Additionally, significant capital expenditures are expected to support AI infrastructure, with projections of $40 billion in 2024, $52 billion in 2025, and $60 billion in 2026. Despite these heavy investments, JPMorgan remains confident in Meta's ability to spend on AI due to its strong operating results and the early benefits of AI in user engagement and monetization. The firm also cited the increasing clarity on Meta's AI product roadmap. The price target upgrade to $640 is based on approximately 22 times the projected 2026 GAAP earnings per share of $29.07, which corresponds to about 26.5 times the forecasted 2026 free cash flow of $55 billion. Meta Platforms remains one of JPMorgan's top picks. In other recent news, Apple Inc (NASDAQ:AAPL). continues to hold its ground in the consumer hardware market, with Oppenheimer maintaining an Outperform rating and a $250 price target. This comes despite Meta Platforms Inc.'s unveiling of its lightweight AR glasses prototype, Orion, which has not been seen as a significant threat to Apple's rumored Apple Vision Pro. Meanwhile, Meta has been making strides in technology, with Citi maintaining a Buy rating and a $645 target on the basis of Meta's potential in artificial intelligence innovation. JMP Securities has also raised its price target for Meta to $635, lauding the company's AI-powered Orion glasses as revolutionary. In other recent developments, Meta is preparing to preview its AR glasses at its annual Connect conference, despite facing technical challenges. The company is also committed to investing in its metaverse technologies, projecting capital expenses for 2024 to reach between $37 billion and $40 billion. On the regulatory front, Meta is engaging with the European Union regarding the upcoming enforcement of the AI Act, although it has chosen not to immediately join the European Union's AI Pact. In an effort towards environmental responsibility, Meta has secured up to 3.9 million carbon offset credits in a deal with BTG (LON:BTG) Pactual's forestry arm, marking a significant step towards achieving net-zero emissions by 2030. As JPMorgan sets a bullish tone for Meta Platforms Inc. (NASDAQ: META), real-time data and insights from InvestingPro further illuminate the company's financial health and market position. Meta's remarkable gross profit margin, which stands at an impressive 81.49% for the last twelve months as of Q2 2024, underscores the company's strong ability to monetize its platforms efficiently. Additionally, Meta's liquidity is robust, with liquid assets exceeding short-term obligations, providing a cushion for strategic investments and operational needs. InvestingPro Tips highlight Meta's perfect Piotroski Score of 9, indicating high-quality business operations and financials, and the fact that the company holds more cash than debt, suggesting a solid balance sheet that can support its ambitious AI and AR initiatives. With a market cap of $1.44 trillion and trading at a P/E ratio of 28.42, Meta is a prominent player in the Interactive Media & Services industry. For readers interested in further insights, there are 15 additional InvestingPro Tips available, offering a deeper analysis of Meta's financial and market performance. These tips can be found on the company's InvestingPro page: https://www.investing.com/pro/META. While the company is trading near its 52-week high, with a price 98.51% of the peak, this reflects investor confidence in Meta's current trajectory and future prospects. As Meta continues to innovate in AI and the Metaverse, these InvestingPro insights provide valuable context for investors considering the company's stock.

Rosenblatt raises Meta Platforms stock target on AI, VR/AR strength By Investing.com

Rosenblatt Securities has adjusted its price target for Meta Platforms Inc. (NASDAQ: NASDAQ:META), increasing it significantly to $811 from the previous $643. The firm maintains a Buy rating on the stock, signaling confidence in the company's growth prospects. The adjustment follows Meta's recent Connect 24 event, which showcased advancements in virtual reality (VR), augmented reality (AR), and artificial intelligence (AI). During Connect 24, Meta demonstrated its commitment to investing heavily in VR/AR technologies and the Metaverse, aiming to outspend any competitors in these areas. The event also emphasized Meta's ongoing progress in enhancing AI capabilities, which the analyst believes to be a key driver in the company's core advertising business. The analyst's commentary points out that despite Meta's shares experiencing a significant increase -- over 60% year-to-date (YTD) and 90% over the last twelve months (LTM) -- the potential for further growth is not yet fully reflected in the current stock price. These figures are contrasted with the S&P 500's gains of 20% YTD and 32% LTM, highlighting Meta's outperformance. The bullish stance is supported by a predicted adjusted earnings per share (EPS) compound annual growth rate (CAGR) of 34% from 2023 to 2025, excluding unusual charges but including stock compensation. The analyst argues that Meta's growth trajectory justifies a higher multiple, suggesting that the company could achieve a price-to-earnings (P/E) ratio comparable to Apple's, which stands at 30x forward EPS. In other recent news, financial services firms Stifel, Baird, and JPMorgan (NYSE:JPM) have maintained positive ratings on Meta Platforms Inc., with Stifel reiterating a Buy rating and a price target of $590, Baird raising its target to $605, and JPMorgan increasing its target to $640. These adjustments reflect confidence in Meta's focus on artificial intelligence (AI) products and its potential for growth. Analysts highlighted Meta's advancements in mixed reality, wearables, and developer tools, and the positive feedback from advertisers regarding Meta's marketing tools. Furthermore, Citi has maintained a Buy rating for Meta, emphasizing the company's potential in AI innovation, and JMP Securities has raised its target for Meta, praising the company's AI-powered Orion glasses. Oppenheimer has also maintained an Outperform rating for Apple Inc (NASDAQ:AAPL)., despite the unveiling of Meta's AR glasses prototype, Orion. In other developments, Meta is actively engaging with the European Union regarding the AI Act and has secured up to 3.9 million carbon offset credits, marking a significant step towards achieving net-zero emissions by 2030. Following Rosenblatt Securities' optimistic outlook on Meta Platforms Inc. (NASDAQ: META), InvestingPro data further bolsters the case for the tech giant's robust financial health. With a market capitalization of $1.44 trillion and a P/E ratio standing at 28.42, Meta's valuation reflects its significant presence in the tech industry. Adjusted data from the last twelve months as of Q2 2024 show a P/E ratio of 26.66, highlighting the company's earnings strength relative to its share price. The firm's gross profit margin is particularly impressive at 81.49%, underscoring its efficiency and ability to maintain profitability despite market fluctuations. This is complemented by a substantial revenue growth rate of 24.28% over the same period, indicating that Meta's investment in VR/AR and AI technologies is translating into tangible financial gains. An InvestingPro Tip points out that Meta holds more cash than debt on its balance sheet, providing financial flexibility and stability. Additionally, Meta's prominent position in the Interactive Media & Services industry is recognized as a significant competitive advantage. For readers interested in deeper analysis, there are 15 additional InvestingPro Tips available, offering insights into Meta's financial performance and stock valuation, which can be found at: https://www.investing.com/pro/META. The data and tips provided by InvestingPro suggest that Meta's current stock performance and future potential may indeed justify the bullish sentiment expressed by Rosenblatt Securities, offering valuable context for investors considering the company's shares.

Stifel maintains Buy rating on META shares amid AI focus By Investing.com

Stifel has reiterated a Buy rating on Meta Platforms Inc. (NASDAQ: NASDAQ:META), with a price target of $590.00. Following Meta's Annual Connect conference, the firm expressed confidence in the company's direction, highlighting the focus on artificial intelligence (AI) products during the event. The conference, held at Meta's headquarters in Menlo Park, California, featured keynotes from CEO Mark Zuckerberg, CTO Andrew Bosworth, Chief Product Officer Chris Cox, and other product and engineering leaders. The presentations emphasized the company's advancements in mixed reality, wearables, and developer tools. Stifel noted the Llama announcements and AI demonstrations as particularly encouraging signs of Meta's competitive positioning in the AI sector. The firm also suggested that the Orion prototype demonstrations align with Meta's broader vision for the Metaverse, hinting that investments in Reality Labs could decrease as use cases become more defined. The analyst firm is optimistic about Meta's near-term advertising potential with Reels and the long-term commerce opportunities. Stifel's stance is that belief in the Metaverse narrative is not a prerequisite for investing in Meta's stock. The firm recognizes the positive feedback from advertisers regarding Meta's scale and marketing tools, which are considered superior to competitors, including TikTok. In other recent news, financial services firm Baird has raised its price target for Meta Platforms to $605, following a positive review of the company's advertising performance. Meanwhile, JPMorgan (NYSE:JPM) has increased its price target for Meta to $640, citing the company's advancements in artificial intelligence (AI). The firm projects that Meta's AI will become the world's most-used AI assistant by 2024. In addition, Oppenheimer has maintained an Outperform rating for Apple Inc (NASDAQ:AAPL)., despite the unveiling of Meta's AR glasses prototype, Orion. Citi has also maintained a Buy rating for Meta, emphasizing the company's potential in AI innovation. JMP Securities has raised its price target for Meta, lauding the company's AI-powered Orion glasses as revolutionary. These recent developments indicate that Meta is actively engaging with the European Union regarding the AI Act and has secured up to 3.9 million carbon offset credits, marking a significant step towards achieving net-zero emissions by 2030. As Stifel maintains a bullish outlook on Meta Platforms Inc. (NASDAQ:META), the latest data from InvestingPro bolsters the investment firm's confidence in the tech giant's financial health and market positioning. With a market capitalization of $1.44 trillion and a robust gross profit margin of 81.49% over the last twelve months as of Q2 2024, Meta's financial metrics reflect its strong competitive stance in the industry. Two InvestingPro Tips highlight Meta's attractive financial ratios and market performance. The company boasts a perfect Piotroski Score of 9, indicating high-quality earnings, and holds more cash than debt on its balance sheet, suggesting a solid financial foundation. Additionally, Meta's impressive year-to-date price total return of 61.04% as of the latest data point underscores the stock's favorable performance in the eyes of investors. With Meta's stock trading at a high revenue valuation multiple and near its 52-week high, the company's strategic focus on AI, as showcased in their Annual Connect conference, appears to be resonating positively with the market. For readers interested in a deeper dive into Meta's financials and additional investment insights, there are 15 more InvestingPro Tips available, providing a comprehensive understanding of the company's investment potential. For those considering an investment in Meta, these insights and metrics could prove invaluable in making an informed decision. To explore further, visit the dedicated page on InvestingPro for Meta Platforms Inc. at https://www.investing.com/pro/META.

Analysts weigh in as Meta unveils AR glasses prototype, new VR headset By Investing.com

Investing.com -- Meta Connect, a developer-centric event hosted by Meta Platforms (NASDAQ:META), launched on Sept. 25, where the tech giant has unveiled the latest hardware and software products. Among the headline-grabbing announcements was the Quest 3S, Meta's latest virtual reality (VR) headset from the Reality Labs division, which comes at a lower price point compared to its predecessor. Priced at $299, the new device will be available starting October 15, a significant drop from last year's Quest 3, which launched at $499. According to Meta, the headset can be used for a variety of tasks, including watching movies, running VR fitness apps, and gaming. During the Connect event in Menlo Park, California, the company positioned the device as a multitasking tool, potentially competing with Apple's Vision Pro headset, which retails for $3,499. In addition to the Quest 3S, Meta showcased a new prototype of its augmented reality (AR) smart glasses and announced updates for its Meta AI chatbot. CEO Mark Zuckerberg presented a concept of the prototype, named Orion, which won't be available to consumers but will be used internally as the company works toward developing consumer AR glasses. While no timeline was provided, Zuckerberg said Meta aims to bring the next version of Orion to market as its first fully functional AR glasses. Orion is designed to support various activities like gaming, multitasking across windows, and conducting videoconferences using realistic avatars, according to Zuckerberg. The company already sells Ray-Ban Meta smart glasses, launched in partnership with EssilorLuxottica in 2023, equipped with a built-in camera. While they lack displays, the glasses feature tiny speakers for playing music and interacting with Meta's AI voice assistant. At Connect, Meta introduced new capabilities for the Ray-Ban Meta glasses. These include real-time translation when the user looks at signs in another language, QR code scanning, and extracting information such as book titles from photos. Moreover, the glasses can remember helpful details, like where the user parked their car. Zuckerberg also introduced a flurry of updates to Meta AI, enabling users to interact with the chatbot via voice in addition to written prompts. With the new voice feature, users will be able to perform tasks by speaking, such as asking Meta AI to take a photo using a smartphone. This feature is expected to roll out in the coming month for WhatsApp, Instagram, Facebook, and Messenger users in the U.S., Canada, Australia, and New Zealand. Meta's new chatbot features are built using the company's AI model, Llama. The company on Wednesday announced a newer version of Llama, dubbed Llama 3.2 Citi: "Meta's new AI products, features, and devices announced at Connect '24 make us incrementally confident that its product innovation can deliver increased engagement and monetization as the ROI from its AI investments continues to expand." "We view Meta's updated Ray-Ban Meta Smart Glasses as a 'Must Buy' that can lead to greater overall engagement across Meta. And while more of a medium-term opportunity, the Orion prototype of holographic glasses represents a significant opportunity for Meta's AR platform." Bank of America (NYSE:BAC): "We think AI Glasses have much broader market potential than VR Googles. While Metaverse spend still seems hard to justify, with glasses long-term investors may have some renewed optimism on Meta's opportunity to be at the forefront of the next generation of personal computing devices. More importantly, the company appears to be successfully innovating around new AI capabilities, driving usage growth which can offset terminal value concerns, and we see Meta as the top AI pick in consumer Internet." Stifel: "Overall, we found the Llama announcements and Meta AI demos as highly encouraging and evidence that Meta is well positioned in that race. We also imagine the Orion prototype demos are likely illustrative of the broader Metaverse vision the company has over the longer term, which we believe might indicate we can expect Reality Labs investments may taper off over the medium-term as use cases begin to crystalize." Jefferies: "Mark Zuckerberg showcased META's AI future at META Connect leaving us more bullish on META's consumer & enterprise AI opportunities. On the consumer, we're bullish on META.AI's impressive traction (~500M monthly actives) & see potential in new image, translation & voice capabilities to boost core engagement. On the enterprise, Llama is becoming a serious contender and we see momentum building with its new multimodal capabilities. META = one of our top AI picks." Roth MKM: "The most important announcement was Zuck showing off AR prototype glasses after working on them for 10 years. 50% of Reality Labs spend has been earmarked to AR, i.e. >$30bn in spend since 2020. With a prototype finally ready, we believe the next couple of years could see slower growth in incremental spend, or perhaps, 2024 could be the peak RL segment op loss margin year."

Why Meta Shares Are Trading Higher Today - Meta Platforms (NASDAQ:META)

AI and AR focus drives investor optimism as Meta expands its AI chatbot usage, business AI tools. Meta Platforms Inc. META shares are trading higher Wednesday as investors react to AI, virtual reality (VR) and augmented reality (AR) announcements made during the company's 'Meta Connect 2024' event. What To Know: Key highlights from the event include the unveiling of Meta's Quest 3S, a mixed-reality headset priced at $299, which will start shipping on October 15 2024. The company also revealed updates to its Ray-Ban Meta smart glasses, now featuring AI-driven tools like reminders, QR code scanning and future capabilities such as live translation between multiple languages. Additionally, Meta introduced its 'Orion' AR glasses, a prototype product that runs its Meta AI assistant, which will soon be tested by select audiences. Meta's push toward AI continues to gain momentum, with the company announcing that its Meta AI chatbot is used by more than 400 million people monthly. Meta also plans to expand its AI tools for businesses, particularly those using click-to-message ads on Messenger and WhatsApp. Furthermore, the company is enhancing its generative AI ad tools and released the Llama 3.2 AI models, capable of understanding both text and images. META price Action: Meta shares were up by 1.42% at $571.36 according to Benzinga Pro. See Also: Nano Dimension Snaps Up Markforged In $115M Deal: Details Image Via Shutterstock. Market News and Data brought to you by Benzinga APIs

JMP says Meta's AI-powered Orion glasses 'revolutionary', shares target raised By Investing.com

On Thursday, JMP Securities adjusted its outlook on Meta Platforms Inc. (NASDAQ: NASDAQ:META) shares, raising the price target to $635 from the previous $550, while maintaining a Market Outperform rating. The adjustment follows Meta's recent developer conference, Meta Connect, where the company unveiled a prototype of its AI-enabled holographic glasses named Orion. The Orion glasses feature a holographic display integrated into the lenses, providing an always-up display, and are enhanced by artificial intelligence for an always-on AI assistant. This technology allows the glasses to process both auditory and visual inputs from the user's environment. JMP Securities believes that Orion positions Meta as a leader in the development of a new computing platform, which has the potential to revolutionize consumer experiences and potentially become the primary computing platform for users in the future. The analyst from JMP Securities noted that while it is still early days for the product and the competition in the hardware space is fierce, Meta has made significant strides in hardware and artificial intelligence over the last five years. These advancements, coupled with the progress of Orion, signify Meta's transition from a social media entity to a company focused on the Metaverse -- a shift that was highlighted by its 2021 name change. Despite acknowledging the challenges that lie ahead, including privacy concerns and technical obstacles, JMP Securities expressed increased confidence in Meta's hardware and extended reality (XR) product roadmap. This confidence underpins the firm's decision to reiterate its Market Outperform rating and increase the price target for Meta's shares. The new price target reflects the potential that Orion and related technologies have to impact Meta's growth and position in the market. In other recent news, Meta Platforms Inc. has been making significant strides in the technology sector. The company is preparing to give a sneak peek into its augmented reality (AR) glasses at its annual Connect conference. Despite technical challenges, Meta is committed to investing in its metaverse technologies, with projected capital expenses for 2024 reaching a record $37 billion to $40 billion. In related news, Meta has chosen not to immediately join the European Union's AI Pact, awaiting the full implementation of the EU's Artificial Intelligence Act. Financial firm Roth Capital recently provided a positive outlook on Meta Platforms shares, citing steady growth in the company's cost per thousand impressions (CPMs). BofA Securities maintained its Buy rating for the company, anticipating the launch of advanced AI chat options and new AI capabilities for WhatsApp and Messenger. Additionally, Meta has secured up to 3.9 million carbon offset credits in a deal with BTG (LON:BTG) Pactual's forestry arm, marking a significant step towards achieving net-zero emissions by 2030. In regulatory news, Meta, along with other tech giants like Amazon (NASDAQ:AMZN) and Google (NASDAQ:GOOGL), is actively engaged with the European Union regarding the upcoming enforcement of the AI Act. These companies are participating in the drafting of the codes of practice for the new legislation, expected to be finalized by late next year. These recent developments reflect Meta Platforms Inc.'s continued push into the metaverse and AR technology, as well as its ongoing efforts to comply with emerging global regulations. In light of JMP Securities' recent price target adjustment for Meta Platforms Inc. (NASDAQ: META), InvestingPro data and tips provide additional context for investors. With a market capitalization of $1.44 trillion and a Price/Earnings (P/E) ratio of 28.42, Meta is a heavyweight in the Interactive Media & Services industry. Its impressive gross profit margin of 81.49% over the last twelve months as of Q2 2024, further solidifies its financial strength. InvestingPro Tips highlight that Meta not only boasts a perfect Piotroski Score of 9, indicating top-notch financial health, but also holds more cash than debt, providing a cushion for future investments or economic downturns. Additionally, the stock's Relative Strength Index (RSI) suggests it is currently in overbought territory, which could indicate a period of consolidation or pullback in the near term. Investors may also find it noteworthy that Meta's cash flows can sufficiently cover interest payments, and the company has liquid assets that exceed short-term obligations. For those looking for more comprehensive analysis, InvestingPro offers additional tips on Meta, which can be accessed on the platform. As Meta continues to innovate with products like the Orion glasses, these financial metrics and insights can help investors make more informed decisions. The current InvestingPro Fair Value estimate of $514.08, alongside the analyst target of $575, may serve as useful benchmarks for evaluating the stock's potential upside.

Watch These Meta Platforms Price Levels as Stock Sets Record High

The company unveiled a lower-cost Quest 3S headset, Orion augmented reality glasses, new artificial intelligence (AI) features, and other tech gadgets at the highly anticipated event. The Facebook and Instagram parent has also turned to celebrities, announcing deals with actors Awkwafina, John Cena, and Judi Dench, among others, that will allow the company to use their voices in a new AI assistant. Since the start of the year, Meta's stock has gained around 60% through Wednesday's close as the social media company's latest quarterly results indicate that significant investments in AI infrastructure and product innovations have started to translate into higher advertising revenue and earnings. Meta shares gained 0.9% on Wednesday to finish at $568.31, after surging to an all-time high of $576.88 during the session. Below, we take a closer look at the technicals on Meta's chart and identify important price levels to watch out for. Meta shares broke out from a five-month ascending triangle on above-average volume earlier this month, with the stock price continuing to track higher into its Connect 2024 conference. The stock's breakout coincided with the relative strength index (RSI) moving into overbought territory to confirm bullish price momentum but also caution of short-term stretched conditions. To forecast potential price targets above the stock's all-time high (ATH), investors can use the measuring principle and a more subjective bars pattern. Let's look at each in further detail. To project a price target using the measuring principle, we calculate the distance of the ascending triangle near its widest point and add that amount to the pattern's top trendline. For instance, we add $165 to $535, which forecasts an upside target in the stock at $700. Speculating an upside target using a bars pattern works by using a prior trending move to forecast a potential future move, assuming price action tends to rhyme. In this case, we extract the stock's trend higher from December to March and reposition it from this month's low, which projects a price target of around $790. We selected this prior move because it commenced from an earlier ascending triangle's lower trendline on Meta's chart, similar to the stock's price action from the most recent ascending triangle. Given the RSI indicator points to overbought conditions in the stock, investors should also keep a close eye on the $535 level, an area on the chart where prior resistance could become future support near the ascending triangle's upper trendline. Market participants who prefer to trade pullbacks rather than chase breakouts could look for buying opportunities near this area. The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info.

Meta climbs after unveiling new AR glasses, AI updates By Investing.com

Investing.com -- Meta climbed Wednesday after debuting its first augmented reality glasses at its annual connect event and unveiling a slew of updates as the tech giant makes a big push to integrate AI features into its various platforms including Facebook and Instagram. Meta Platforms Inc (NASDAQ:META) was up 2% in recent trading. Meta said its Orion augmented reality glasses enable "digital experiences that are unconstrained by the limits of a smartphone screen." The Orion glasses features holographic displays with the ability to integrate contextual AI that can anticipate and proactively address user needs, it added. The tech giant also unveiled a lower priced Meta Quest 3 mixed reality headset starting at $299, with shipping beginning Oct. 15. Meta's AI assistant, Meta AI, received a slew of new updates and now has the ability to respond back to questions across the company's platform including Instagram, Messenger, WhatsApp, and Facebook. Users of Meta AI would also be able to choose several voices including the AI clones of celebrities that Meta has worked with. Meta reported that Meta AI attracts 400m users at least once month.