Meta AI Agent Muse Sparks Wall Street Rally as JPMorgan Sets $920 Price Target

Meta AI Agent Muse Dominates App Store Rankings

Meta's personal AI agent Muse has captured Wall Street's attention by overtaking ChatGPT as the top free iOS app in the United States within its first two weeks on the market1

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. The consumer AI application pulled in more downloads than Anthropic's Claude and SpaceXAI's Grok app during the same period, signaling strong early adoption1

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. Muse has connected with more than 2,000 applications in just two weeks, establishing partnerships with major retailers including Walmart, Best Buy, Sephora, and Wayfair1

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. The AI agent's rapid ascent to the number one position on the iOS app store demonstrates its potential to become the most widely used consumer AI application since ChatGPT, according to JPMorgan analyst Doug Anmuth1

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Industry leaders at Jefferies' AI Summit reinforced the view that Muse represents a surprising killer product, with usage continuing to rise as the AI agent handles increasingly complex tasks4

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. Jefferies reported relying on Muse for complex tasks from paying parking tickets and finding deals to building detailed trackers and monitors, highlighting how the AI agent has become integrated into everyday workflows4

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Wall Street Raises Meta Stock Price Targets After Connect

JPMorgan raised its Meta stock price target to $920 from $820 following Meta Connect, maintaining its Overweight rating1

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. The firm's analyst Doug Anmuth argued that Muse has the potential to bring an extremely capable personal agent to billions of users1

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. TD Cowen increased its price target on Meta stock to $865 from $750 while maintaining a Buy rating, incorporating initial Muse AI user and revenue projections through 2031 in its updated estimates5

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. Monness, Crespi, Hardt raised its price target to $830 from $730, citing Meta's progress at the Meta Connect 2026 event where the company showcased Muse and unveiled Muse Charm3

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Jefferies reiterated a Buy rating and $875 price target on Meta stock, noting that at just 19 times fiscal year 2028 estimated earnings per share, the company presents compelling risk/reward with room for upside to estimates and further rerating4

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. Meta stock rose roughly 3% to around $768 the day after Meta Connect, trading near its highest level in almost a year1

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. The stock had already gained nearly 25% since the initial Muse launch earlier in September1

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Meta's AI Monetization Strategy Takes Shape

Meta's AI monetization path centers on transaction take rates from consumer purchases completed through Muse. CEO Mark Zuckerberg confirmed at Meta Connect that the AI agent will be free to use because the company expects to generate revenue over time through a take rate on consumer transactions5

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. Meta announced a new PayPal integration for Muse, adding to its existing Shopify partnership, with Walmart, Best Buy, and delivery app Instacart also partnering with the AI agent5

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The revenue model is straightforward: Muse connects to retail apps, users complete purchases through it, and Meta takes a cut1

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. While nothing about this model is new to platforms—Amazon built a business on it—the question is whether Muse gets used enough for the cut to matter1

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. TD Cowen's updated estimates now include initial Muse AI user and revenue projections extending through 2031, suggesting confidence in the platform's long-term monetization potential5

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Meta Launches Enterprise AI Unit Targeting $1 Trillion Market

Meta announced the formation of Meta Enterprise Platform, a new business unit focused on bringing the company's AI capabilities to enterprise customers and developers2

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. CEO Mark Zuckerberg described Meta's AI initiatives as the next major pillar of Meta's business2

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. The initial offering will span the Muse agent, Meta Business Agent, Muse API, and Muse Code, leveraging Meta's advanced models, agent capabilities, and large-scale infrastructure2

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Meta hired MongoDB CEO Chirantan Desai to lead the initiative as Chief Enterprise Platform Officer2

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. BofA Securities reiterated a Buy rating and $810 price target on Meta stock following the enterprise AI unit announcement, noting that the enterprise AI solutions market, including cloud capacity, is expected to exceed $1 trillion by 20282

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. BofA Securities analyst Justin Post said Meta's Enterprise AI solutions launch could introduce a more durable, less macro-sensitive monetization revenue stream for Meta2

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. The firm said Meta's consumer data and communications apps could give Meta advantages for AI enterprise sales to consumer-focused companies2

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New AI Glasses Signal Hardware Momentum

Morgan Stanley flagged Meta's new AI glasses as a potential upside driver for 2027, representing a notable shift for a firm that has historically been cautious about Meta's hardware ambitions1

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. Analysts led by Brian Nowak wrote that Meta's new AI glasses "does seem to be a notable improvement in size and capabilities and will have to be watched as a potential further upside node for '27"1

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. Meta moved the battery and processor into a separate puck, reducing the glasses themselves to roughly the weight of a deck of playing cards1

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. This engineering change offloads compute and changes the design space entirely, potentially making the new AI glasses more wearable for longer periods, which addresses the real barrier to mainstream adoption1

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. Meta accounted for 68.7% of global smart glasses shipments in the second quarter, though Samsung and other Android XR partners are preparing rival products later this fall1

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