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Skip NavigationMarketsBusinessInvestingTechPolitics & PolicyVideoWatchlistInvesting ClubPROLivestreamMenuJPMorgan thinks Meta Platform’s push into agentic artificial intelligence and frontier models is set to boost the company’s shares. The bank upgraded the hyperscaler to buy from neutral in a Thursday note. It also raised its price target to $820, which indicates a 30% gain from Wednesday’s close. Meta on Tuesday launched its personal AI agent app , powered by the company’s Muse Spark family of models. Last week, Meta launched the latest version of that model . Both are just a sign of more to come from the company, according to analyst Doug Anmuth. “We believe there’s still meaningful upside potential as Meta is in the early stages of releasing frontier models and AI-driven products beyond advertising, notably Muse AI agent and Meta Model API access,” Anmuth wrote in the note. “Meta’s Muse AI agent has strong early traction, reaching as high as #3 in the US app store on its second day (see Figure 2) and early usage running at 10x that of training cohorts.” He added that while monetization isn’t a priority for Muse at the moment — though Meta’s new AI agent app comes with both free and paid subscription tiers — he said there is a total addressable market in the potentially tens of trillions of dollars when the company is ready. But the more successful Meta’s AI projects are, the greater demand the company will have for compute, Anmuth said. He now is forecasting even greater pressure on the company’s free cash flow in 2027 and 2028, believing it could be in the negative by $65 billion to $75 billion each year. However, that forecast isn’t taking into account any AI product monetization by the company, he noted. “And importantly, we believe there’s still meaningful headroom in core advertising from AI-driven improvements tied to content recommendations and engagement, better ad targeting and retrieval, and AI content creation,” Anmuth wrote. META 6M mountain Meta 6-month chart.Read More