Muse Got Meta to Consumer-Scale Agentic Execution First And That Matters
Meta shipped an agentic AI model to 3.6 billion daily users before most labs even found their audience, and that gap in distribution could reshape which AI investments actually compound over the next decade.
I keep buying Meta Platforms (NASDAQ:META | META Price Prediction), and Muse is the reason I plan to keep going. The first wave of excitement around Meta Superintelligence Labs has cooled, even as Barron’s argues the stock can still rise after the Muse boost. What matters to me has held up. Meta put a capable agentic model in front of consumers at scale, and it owns the distribution to extend that reach.
Muse Already Runs Where 3.6 Billion People Show Up
Most AI labs have to go find their users. Meta ships to 3.60 billion daily active people across Facebook, Instagram, Messenger and WhatsApp. After Meta rebuilt its assistant around Muse Spark, the number of people using Meta AI each day rose 60%. Mark Zuckerberg called Muse Spark 1.1 “a strong agentic encoding model” that is strong at computer use and tool use. The new EssilorLuxottica glasses are the first to ship with Muse Spark out of the box.
Agents are already handling real transactions. More than 1 million businesses use Meta Business Agents every week to talk with customers or close sales. Movida, a Brazilian rental-car chain, saw a 44% increase in daily bookings through WhatsApp, and its AI agent resolved 85% of conversations with no human involved.
Three Receipts Behind Every Purchase
First, AI is already lifting the ad engine. Second-quarter revenue reached $60.80B, up 27.96%. Ad impressions rose 14% and the average price per ad climbed 12%. Advantage Plus passed $75 billion in annual revenue run rate.
Second, the business quality holds up. Meta runs an 81.99% gross margin, earns 30.24% on equity and posts 71.48x interest coverage.
Third, I can live with the price. At a P/E of 28, I own a company that guided third-quarter revenue to $61–$64B and expects full-year operating income to top 2025 levels.
Why My Money Skips Alphabet and Snap
Alphabet (NASDAQ:GOOGL) trades at a P/E near 16, which looks cheaper. Its second-quarter free cash flow, though, came in at -$5.855B. It suspended buybacks, raised $49.6 billion in net equity proceeds and set up an at-the-market program for up to $40 billion in stock. Its reported net income also included a $99.03 billion gain on equity securities. Meta paid for its expansion with debt and still owes only 0.386 for every dollar of equity.
Snap (NYSE:SNAP) lost $163.96 million last quarter, has borrowings of 2.06 against its equity, and its management expects sustained positive net income starting only in 2027.
Risk That Could Actually Hurt This Position
Meta guided 2026 capex to $130–$145B, second-quarter free cash flow fell to $784M, and long-term debt rose to $83.66B. Youth-related U.S. trials scheduled this year may result in material losses, and that quarter already took $2.40B in legal charges. If Muse fails to earn its keep, that capex becomes a drag for years.
I still trust the math. Operating cash flow grew to $31.86B, and excluding legal and severance charges, operating income would have risen 9%. CFO Susan Li said Meta remains “demand constrained”, and Zuckerberg said Meta has received compute offers “at a significant premium over what we paid for it.”
Agent Revenue Lines That Could Extend Meta’s Lead
Business agents add new revenue lines, with Meta planning subscription, volume-based and results-based pricing. Li expects more recommendation gains “over the rest of the year and into 2027.” The 0.32% dividend yield is low. I hold this stock for compounding. Meta reaches 3.6 billion people, and now Muse puts agents in front of that audience at scale. That is the reason I keep buying.
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Alex Sirois is a financial writer with experience spanning both retail and institutional investing. He has written for InvestorPlace and held roles at BNY Mellon and Bernstein, giving him a perspective that bridges Main Street portfolios and Wall Street analysis.
Alex holds an MBA from George Washington University and has built his career across multiple industries, including e-commerce, education, and translation — a breadth of experience that informs how he breaks down complex financial topics for everyday investors. His writing is conversational, actionable, and grounded in long-term, buy-and-hold investing principles.
At 247 Wall St., Alex focuses on delivering analysis that is both accessible and useful, with a clear emphasis on helping readers make more informed decisions with their money.
