Meta Platforms Inc. (NASDAQ:META) is still the AI story everyone wants to talk about. But the conversation is getting complicated. Wall Street loves the commercial potential of Meta's Muse AI platform, yet it's also side-eyeing the company's rising capital costs and the need to keep its core advertising business humming.

Analysts remain optimistic about Meta's AI ambitions. However, the company's spending plans and potential financing needs have raised questions about future returns.

Guggenheim Sees Muse As Transformative

Guggenheim Securities analyst Michael Morris maintained a Buy rating and an $850 price forecast, saying Meta's operating results were strong even as investors focused on the company's capital needs and new Class C share structure.

Morris told CNBC on Thursday that Muse is a "transformative product" and said its early transaction activity strengthens the monetization case.

He highlighted transaction values above $200 per transaction and sees potential revenue from commerce, business tools and interactions between consumer and business agents.

He also acknowledged that some companies may resist Muse access, but believes strong consumer adoption could pressure suppliers to participate over time.

RBC Says Core Advertising Must Fund the AI Buildout

RBC Capital Markets analyst Brad Erickson told CNBC on Thursday that Meta's business continues to grow strongly, but investors need that momentum to persist if they are going to support the company's heavy AI spending.

He described Muse as a major long-term option for the business but cautioned that Meta will likely burn cash and may issue equity next year to raise capital.

Erickson said Meta's current-quarter guidance remains strong enough to support the investment case for now, while noting that future negotiations around Muse will depend on who controls the customer relationship and how liability gets handled when the agent delivers third-party products or services.

BNP Paribas Raises Meta Forecast to $940

BNP Paribas senior analyst Nick Jones reiterated an Outperform rating and raised his price forecast to $940 from $885 on Thursday.

Jones said Meta's third-quarter Family of Apps revenue reached $64.2 billion versus $62.8 billion consensus, while advertising revenue came in at $63.1 billion versus $61.8 billion expected.

He noted diluted EPS of $3.83, above the $3.56 consensus, despite $9.9 billion in legal charges. CapEx totaled $34.9 billion, below the $41.0 billion estimate.

For the fourth quarter, Meta guided revenue to $73 billion-$76 billion, compared with $73.6 billion consensus. The company expects 2026 CapEx of $135 billion-$145 billion.

Jones said Muse is showing strong commercial intent but remains expensive to operate. Meta aims to improve Muse cost efficiency by more than 10 times in 2027, while prioritizing adoption and engagement before broader monetization.

Across the three views, analysts remain constructive on Muse and Meta's core business, but capital intensity, financing needs and execution remain central to the outlook.

META Price Action: Meta Platforms shares were down 0.35% at $646.58 during premarket trading on Friday, according to market data.