Meta Platforms stock is taking a breather after the excitement caused by its Muse artificial-intelligence agent. The social-media company is just gathering energy for its next break higher, according to analysts at Truist Securities.

Meta shares were down 1.2% at $734.02 in premarket trading Tuesday. Shares have rallied from lows of around $550 in August as the launch of Muse in September restored confidence in CEO Mark Zuckerberg's AI strategy.

Things should only get better from here, according to Truist's Youssef Squali, who raised his price target on the stock to $1,000 from $763 in a research note Tuesday. That implies a 35% gain from Monday's closing price and is based on a price-to-earnings multiple of 31.8 times his 2027 estimates, or an enterprise value-to-revenue of 8.3 times.

"We remain constructive on Meta into earnings expecting results at the higher-end of guidance/consensus, fueled by monetization and strong user engagement," Squali wrote. "With AI infusing higher performance across ads, wearables and Muse (building non-ad revenue from powering personal superintelligence, Muse for Enterprise/SMBs), we see Meta as an AI winner long-term."

Meta's previous earnings report in July was overshadowed by rising expenses and a big charge for potential legal costs. Meta will probably still have to deal with the likelihood of regulatory settlements about the harmful effects of social media but the positives should come from future monetization of Muse.

The Truist analyst forecasts Meta could generate an additional $28.5 billion in revenue from Muse by 2030, including subscriptions and payments related to the agent being used for commerce.

But AI is still a pay-to-play business. Investors will have to accept more capital expenditure, with Squali projecting Meta's annual capex at $190 billion, up 32% from the previous year.

"With revenue growth likely at the high-end of expectations and early green shoots from Muse emerging (in terms of user growth and engagement), we believe Meta will again signal its intent to continue to lean aggressively into its infrastructure build out," Squali wrote.

Meta is poised for gains so long as the market is willing to swallow the price of investment.