Wells Fargo raised its price target on Meta Platforms to $1,000 from $796 and maintained an Overweight rating. Analyst Ken Gawrelski cited investor enthusiasm for Meta’s Muse AI product cycle as a key reason for the higher valuation, and said the long-term opportunity is substantial.
The bank sees a path for Meta’s AI agent to generate significant revenue by 2030. However, rising AI capital expenditures could pressure earnings in 2027.
Wells Fargo said Meta’s upcoming third-quarter earnings call may temper near-term expectations for Muse. If AI-agent monetization is delayed while spending continues to rise, that could weigh on investor expectations.