Answering your question
Whether
SQL Server: Memory Manager: Target Server Memory (KB)
is ideal amount of memory based on recent workload OR the max memory setting?
Target Server Memory is "The ideal amount of memory the server is willing to consume (can be limited by "max server memory" setting)"
If Max Server Memory is set, then Target Server Memory = Max Server Memory
p.s. Running a procedure MemoryManagerInfoMemoryManagerInfo
, here what it shows on my server:
Target Server Memory = 184320 MB, and it corresponds to what I have in Max Server Memory in Server Settings