Meta Platforms (NASDAQ:META) could unleash generative AI (Artificial Intelligence) bots to drive engagement and woo younger users. Per a Wall Street Journal report, the company could introduce these chatbots at its META Connect conference (a two-day virtual event on AI and virtual, mixed, and augmented realities scheduled to start on September 27) and seamlessly incorporate them into its suite of social media applications.
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The launch comes amid heightened rivalry from fellow social media platforms, particularly TikTok. Meta intends to employ generative AI chatbots to defend its market share and bolster user engagement. Additionally, the report emphasized that AI bots have the potential to improve productivity-related capabilities and can help with coding and other tasks.
Like other big tech giants, Meta also leverages AI to enhance its competitive edge, improve productivity, and drive customer experiences. Let’s delve deeper into Meta’s AI product roadmap.
Meta Riding AI Wave
During the Q2 conference call, Meta CEO Mark Zuckerberg said the company will introduce new AI-powered tools this year. Zuckerberg highlighted that the company has invested billions of dollars in AI infrastructure, which is paying off by improving engagement.
He added that AI is also driving its monetization tools through its automated ad products. Zuckerberg pointed out that all of Meta’s advertisers are using at least one of its AI-driven products. Moreover, the company has deployed Meta Lattice, a new model architecture designed to forecast the performance of ads across diverse datasets and achieve optimization goals. Additionally, it launched AI Sandbox, a platform tailored for testing generative AI-powered tools.
As Meta commits to AI investment and utilization, let’s consider what the Street recommends for its shares.
What is the Outlook for Meta Stock?
Meta stock has appreciated by over 148% year-to-date. Despite this significant growth, Wall Street analysts maintain an optimistic outlook on its shares.
Meta stock has 41 Buy and two Hold recommendations for a Strong Buy consensus rating. At the same time, analysts’ price target of $376.19 implies a further upside potential of 25.78% from current levels.
