Wall Street Split on Meta’s Muse AI and Stock Outlook

Meta’s new Muse AI agent reached No. 3 in the U.S. App Store within its first two days, and the app’s early download surge has divided Wall Street over the product’s financial impact.

JPMorgan upgraded Meta to Overweight and raised its price target to $820 from $640. JPMorgan analyst Doug Anmuth cited the company’s rollout of larger AI models and consumer-facing products beyond advertising, and wrote that Meta still has “meaningful upside potential.”

JPMorgan identified several possible revenue paths tied to Muse: commissions or take-rates on transactions conducted through the agent, subscription fees for advanced features, and expanded access to Meta’s Model API for developers. The firm described those channels as ways Meta could extend revenue beyond its advertising business.

Other firms were more cautious. Oppenheimer maintained a Perform rating and questioned whether Muse will drive significant revenue. Analyst Jason Helfstein raised doubts that enough consumers will pay for another AI assistant given competing services, and he noted that e-commerce and other functions may be limited without deep account access.

Muse is designed to perform tasks such as online shopping, travel planning, ticket purchases, appointment scheduling, calendar management and sending emails and messages. To complete some tasks, the agent may need access to user accounts and personal information.

Analysts and market participants have pointed to user trust and privacy as potential obstacles. Some investors and researchers said consumers might be reluctant to provide login credentials or grant broad permissions to an AI agent, and they referenced Meta’s past privacy issues as a factor that could affect willingness to share account access.

Recent hands-on testing by a technology publication raised questions about the amount of personal data Muse can access through Meta and connected third-party services. Observers said limits on granted permissions could constrain the agent’s ability to complete transactions or manage accounts on users’ behalf.

Meta’s stock traded near $653 during the session, after giving up earlier gains. Market reactions reflected the split among investors over whether Muse will translate early download interest into regular paid usage or transaction volumes.

Meta has been investing in larger AI models and product features, including API access for developers and consumer-facing agents. Analysts pointed to early downloads as a data point but listed conversion to paid services, transaction volumes and user willingness to provide account permissions as factors for potential monetization.