Meta shares surged 14% in five days, while its forward P/E stood at 22 times, below its 23.1 long-term average. Yahoo Finance data show 2027 earnings estimates rose only slightly in the past week and remain below levels from 90 days ago.
The report points to Meta’s aggressive reinvestment in AI infrastructure as a likely reason analysts have been slow to revise forecasts. At Meta Connect, Meta introduced Muse Charm, a pocket device for voice interaction with its Muse agent, and showed $1,299 VR glasses weighing 100 grams with 5K micro-OLED displays, tethered processing and eye- and hand-tracking. It also debuted third-generation Ray-Ban Meta glasses starting at $249 and camera-free Ray-Ban Meta Audio glasses.
Sensor Tower data obtained by Yahoo Finance put Muse at more than 3.4 million downloads since its Sept. 8 launch. It had 2.8 million in its first two weeks; ChatGPT, Grok and Claude recorded 3.7 million, 400,000 and 300,000 downloads, respectively, during their own first 14 days. Citi analyst Ronald Josey said the Connect announcements made the firm incrementally positive on Meta shares and described Muse as an emerging centerpiece of the company’s AI strategy.
