Meta Unveils Powerful Muse Wonder AI Models To Directly Compete With OpenAI

Aditya Raghunath • 3 minute read
Reviewed by: David Hanson
Last updated Oct 13, 2026

@Omar_Nasif from pixabay via Canva, @Diego Maravilla © 2022 from Diego Maravilla via Canva

Key Stats for Meta Stock

  • Price change for Meta stock in the last 6 months: 17%
  • $META Stock Price as of Oct. 12: $743
  • 52-Week High: $780
  • $META Stock Price Target: $799

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What Happened?

Meta (META) launched Muse Wonder and Muse Wonder Full on Monday. The company calls them its most capable AI models yet. Meta stock rose about 4% in afternoon trading.

Muse Wonder will soon power Meta’s Muse personal AI agent, starting with subscribers. Muse Wonder Full is more powerful and is available to subscribers of Muse Code, Meta’s AI coding tool.

The launch is a direct push at OpenAI and Anthropic. Mark Zuckerberg has pledged billions of dollars and hired top researchers over the past year to catch up.

In a blog post, Meta said it started overhauling its AI efforts 14 months ago. It says it has gone from rebuilding its foundations to pushing the frontier.

META Stock Revenue, EBIT and Free Cash Flow Estimates in Billion USD (TIKR)

Meta also rolled out its Muse agent last month.

The agent can access other apps, send emails, and make payments. Reuters notes that this success could turn Meta’s heavy AI spending into new subscription revenue.

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What the Market Is Telling Us About Meta Stock

Investors are rewarding Meta stock because the launch shows progress on a big bet. AI spending is huge and the market wants proof that it can pay off.

Meta’s July earnings call helps explain the mood. Q2 revenue was $60.8 billion, up 28%, and the social media giant expects Q3 revenue of $61 billion to $64 billion.

Meta now expects 2026 capital expenditures of $130 billion to $145 billion. Notably, free cash flow was only $784 million last quarter.

On that call, Zuckerberg said Meta wants to sell new AI products to businesses and consumers. Those include personal agents, business agents and a model API.

He also said Meta plans subscriptions through its new Meta One offering. The new models fit right into that plan.

Susan Li also warned about legal risk. She said youth-related trials scheduled for this year could result in a material loss.

META Stock Valuation Model (TIKR)

So the picture is mixed. Better models give Meta stock a clearer path to new revenue.

But costs are high, and the payoff isn’t proven yet. Today’s 4% jump shows investors like what they see, though one launch won’t settle the debate over Meta stock.

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Disclaimer:

Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!

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