Meta Platforms, Inc. (NASDAQ:META) launched the Meta Enterprise Platform on September 28 as a new business pillar focused on its AI technology stack. The platform will give businesses and developers access to tools such as the Meta Business Agent, Muse Code, Muse Agent, and Muse API. The market quickly interpreted the launch as a competitive threat to enterprise software.
The iShares Expanded Tech-Software Sector ETF declined 2%, while ServiceNow, Inc. (NYSE:NOW) fell 5%, monday.com LTD (NASDAQ:MNDY) slid 7%, and MongoDB, Inc. (NASDAQ:MDB) plunged 25%. The response suggests investors are treating Meta as a potential SaaS competitor even before it has proven its ability to attract enterprise customers. META is also one of the stocks that we think will skyrocket, especially on the Muse agentic AI boom. Interestingly, we identified 5 stocks that are even better placed to skyrocket compared to META.
One Announcement, Billions in Market Value Gone
Meta is bringing AI agents, coding tools, and APIs together in a platform designed for businesses. To lead the initiative, it recruited MongoDB CEO Chirantan “CJ” Desai. Meta CEO Mark Zuckerberg highlighted Desai’s background in full-stack software, security, AI, infrastructure, and business applications.
The announcement triggered declines across major software names, highlighting the competitive concerns. Microsoft Corporation (NASDAQ:MSFT) declined 2%, Salesforce, Inc. (NYSE:CRM) dropped 4.5%, Oracle Corporation (NYSE:ORCL) fell 3%, Adobe Inc. (NASDAQ:ADBE) lost 4%, Figma slipped 6%, and SAP declined 3%. MongoDB suffered the sharpest move, falling 25% after losing its CEO to Meta.
Meta Has Tried Enterprise Before
Investors should keep in mind that Meta has already walked away from its previous major enterprise product, Workplace, which was fully decommissioned in May 2026 after a decade. That does not mean its latest platform will meet the same fate, but it does highlight the company’s limited track record in building a lasting enterprise software business.
At the same time, recent SaaS results push back against the idea that AI automatically destroys software demand. MongoDB grew revenue 30% in its latest quarter and raised its guidance, while ServiceNow’s subscription revenue climbed 24.5%.
Meta’s Modest Premium Leaves Room for Upside
Meta’s own valuation doesn’t seem to reflect much of the enterprise opportunity yet. The forward GAAP P/E of 23.67x sits only about 7% above its 5-year average of 22.06x. The forward Price-to-sales ratio of 7.40x carries a similar premium, about 12% above its 5-year average of 6.61x. The EPS outlook explains the modest premium.
Analysts expect earnings growth of just 4% this year as heavy AI spending weighs on profits. The trajectory then improves, with growth of about 13% to 16% estimated through 2029. The balance sheet is decent. Meta holds $90.26 billion in cash against $112.32 billion in debt, a manageable gap for a company worth nearly $1.9 trillion. To me, the market has punished software stocks for Meta’s push, but hasn’t rewarded Meta for it yet. One reason for this could be this business division of META, which continues to generate billions in losses every year.
According to our database, hedge fund ownership of Meta fell from 262 funds at the end of Q1 2026 to 254 funds at the end of Q2 2026, representing a small pullback within an already wide institutional base. Short interest was just 1.31% of float as of August 31, 2026.
Meta’s AI capabilities are real, and hiring Desai strengthens its enterprise puch. But recent selloff prices in disruption before Meta has proven its enterprise economics. Hedge fund ownership slipped modestly, while just 1.31% short interest shows investors are not aggressively betting against the stock. The market is pricing Meta’s potential victory before meaningful enterprise adoption has been demonstrated.
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