Meta keeps Bank of America analysts bullish with early Muse Spark launch

Meta Platforms Inc (NASDAQ:META, XETRA:FB2A, SIX:FB) has earned a repetition ‘Buy’ standing from Bank of America pursuing the unexpected aboriginal motorboat of the company’s newest ample connection model, Muse Spark.

Bank of America besides kept its terms people connected Meta unchanged astatine $885, with shares up 3.4% astatine astir $633 connected Thursday afternoon.

The bank’s analysts described the instauration of Muse Spark arsenic a affirmative improvement that “helps wide an uncertainty overhang for the stock,” highlighting that earlier reports had suggested a imaginable hold successful the model’s debut.

The study noted that Meta’s roadmap for improved AI capabilities passim 2026 creates “scope for iterative show gains crossed upcoming exemplary releases,” positioning the institution to physique connected its archetypal introduction into frontier AI.

The analysts highlighted the strategical value of the rollout. “Earlier reports indicated Meta had delayed the exemplary motorboat to astatine slightest May, and we deliberation an earlier merchandise helps wide an uncertainty overhang for the stock,” they wrote.

On valuation, the analysts noted that Meta’s existent trading aggregate is beneath broader marketplace averages. “At ~$625, Meta valued astatine 18x Street 2027 GAAP EPS (15x adjusting for Reality Labs investments), beneath S&P 500 astatine ~20x,” they wrote, suggesting the stock’s valuation remains charismatic against long‑term net expectations.

Bank of America further drew a parallel with rival activity, noting that Google experienced improved sentiment pursuing advancements with its Gemini 3.0 exemplary and proposing that Meta could spot a akin trajectory if aboriginal exemplary show continues to strengthen.

“Meta could beryllium connected a akin trajectory implicit the adjacent 12 months if exemplary show continues to improve,” they wrote.

Bank of America’s outlook underscores the firm’s presumption that Meta’s ongoing investments successful AI and advertizing could enactment some merchandise innovation and monetization opportunities implicit time, though the analysts did not supply circumstantial gross forecasts tied solely to Muse Spark.