Key Stats for Meta Stock
- Price change for Meta stock in last 6 months: 9%
- $META Stock Price as of Oct. 15: $737
- 52-Week High: $780
- $META Stock Price Target: $814
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What Happened?
Meta Platforms (META) released an open-weight version of its Muse Spark AI model on Thursday, which is built for coding and AI agents. Developers can now download the model and change it to fit their needs.
Open-weight means the trained parameters are public. With a closed model, the creator keeps control, and open models can be a cheaper option for businesses.
Here are the key details on the model:
- It is also available through some API providers.
- It has 816 billion total parameters, with 42 billion active at a time.
- It can handle up to 1 million tokens of context.
- It can run locally on two Apple M5 Ultra Mac Studio computers.
In August, Meta released Muse Glimmer, a smaller open-weight model.
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What the Market Is Telling Us About Meta Stock
This move fits what Mark Zuckerberg has been saying. He believes advanced AI should not sit with a few companies.
On the Q2 call, he said Meta would likely return to open models and plans to mix open and closed releases.
Open models come with a catch. They can give companies more control over their data. But running them at scale can require significant computing power and technical skill.
Meta’s stock is closely tied to how well this AI spending pays off. In Q2, revenue rose 28% to $60.8 billion. Net income was $15.8 billion.
Management said AI is helping its core ads business, and daily users across its apps reached 3.6 billion.
But the costs are high. Meta expects capital spending of $130 billion to $145 billion this year and Q2 free cash flow was only $784 million.
Total expenses also jumped 55%, partly due to legal charges and severance.
Zuckerberg also said Meta is looking at new ways to earn from AI, including an API and business agents. That is why this release matters for Meta stock.
It widens the reach of its models, though it won’t generate revenue on its own.
For now, Meta stock reflects a bet that heavy AI spending will pay off over time. Investors will watch how open models fit with its paid offerings.
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So what is Meta stock actually worth?
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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!
