Meta's new AI assistant Muse rapidly reached 2.8 million downloads, closing the gap with ChatGPT. Despite an initial 14-day retention rate of 22 percent that trails platforms like YouTube and Snapchat, Meta continues to outperform on fundamentals. Delivering 27.7 percent revenue growth compared to Alphabet's 20.1 percent, Meta also boasts an attractive forward PEG ratio of 1.19 alongside an 81.8 percent gross margin. While quantitative models currently rate both Meta and Alphabet as a Hold, Meta's robust margins provide ample capital to fund its aggressive artificial intelligence ambitions.
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