3 Hot Metaverse Stocks To Watch This Week
Investors continue to focus on metaverse stocks in the stock market this week. Despite the shorter trading week, there is plenty of excitement among metaverse tech firms now. For the most part, the overwhelming focus on this upcoming section of the tech industry is not surprising. After all, the virtual world that is the metaverse brings plenty of perks along with it, across numerous use cases. This appears to be the case from seamless virtual social interactions to more cost-efficient workspace collaboration in corporate settings.
Notably, among the latest tech giants to weigh in on the benefits of the metaverse would be Nvidia (NASDAQ: NVDA). Over the weekend, CEO Jensen Huang noted that the metaverse could help organizations save billions. In Huang’s words, “They’re [companies] willing to invest a small amount of money to buy into this artificial intelligence capability but what they save is hopefully hundreds and hundreds and hundreds of billions of dollars.” Subsequently, he also goes on to highlight the possibility of simulating factories and production plants in the metaverse, and or omniverse. Should this be the case, demand for Nvidia’s chips could continue to skyrocket as its tech enables metaverse-running computing hardware.
By and large, there is no shortage of metaverse stocks to choose from now. On one hand, you could invest in more direct names like Microsoft (NASDAQ: MSFT) that are at the forefront. The company is currently looking to build an enterprise-focused metaverse, integrating related concepts into its existing offerings. On the other hand, firms like Zoom (NASDAQ: ZM) are already part of the equation. Given the company’s experience in digital interactivity, it could be one to watch as things heat up in the metaverse. With all that said, could one of these metaverse stocks be top picks in the stock market today?
Best Metaverse Stocks To Buy [Or Sell] Right Now
- Meta Platforms Inc. (NASDAQ: FB)
- Roblox Corporation (NYSE: RBLX)
- Snap Inc. (NYSE: SNAP)
Starting us off today is none other than the company behind the current wave of metaverse hype, Meta Platforms. As the name suggests, Meta is now focusing heavily on building and expanding the metaverse. It aims to do so while still making the most of its flagship social media platforms, Facebook, Instagram, and WhatsApp. Now, the company boasts social media expertise and cutting-edge augmented reality (AR) and virtual reality (VR) hardware. When you consider how all these components give it an edge over the competition, Meta could be a force to be reckoned with.
Since the official rebranding to Meta, FB stock is currently up by over 10%. With year-to-date gains of about 28%, could the company’s shares be worth watching now? Well, for one thing, Meta does not seem to be sitting idly by amid these exciting times. Namely, reports suggest that the company’s plans to invest $1 billion towards building Facebook’s content creator pool are well underway. According to a report from The Information, Facebook is currently reaching out to musically-inclined content creators. The likes of which are supposedly being offered up to $50,000 to be on Facebook’s Live Audio Rooms, its answer to the audio-focused social app, Clubhouse.
In theory, such a move would serve to further bolster the appeal of Meta’s premier social networking app. This, in turn, could see more users flocking to its services once the metaverse goes into full swing. Understandably, a more expansive and diverse collection of social media personalities could help in this respect. All things considered, will you be adding FB stock to your list of top metaverse stocks to buy?
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Another name to consider among metaverse stocks today would be Roblox. Overall, some would argue that Roblox serves as an earlier and highly accessible version of the metaverse. For the uninitiated, it is a gaming company that develops and operates an online gaming platform of the same name. On this platform, users can interact with one another via digital avatars in a large variety of ways. This ranges from user-created games to live concerts in-game among other unique experiences. As such, investors looking to jump on metaverse stocks could be looking at RBLX stock now.
Evidently, RBLX stock is currently sitting on gains of over 90% since going public back in March. This, in part, is likely thanks to the recent buzz around the metaverse and companies that are working on it. In particular, investors appear to be reacting positively to Roblox’s latest partnership with Nike (NYSE: NKE). The duo are now collaborating to create a new virtual space in the Roblox world called Nikeland. As you can imagine, this entails an entirely digital world filled with Nike-themed buildings, arenas, and other fixtures. All of which creates an environment where Roblox users can interact with each other.
In the larger scheme of things, this collaboration could, ideally, add more momentum to the overall metaverse trade. Simply put, it shows that major companies are already looking for a means to market their wares on the metaverse. Because of this, investors may want to consider keeping an eye on metaverse companies that facilitate this trend. On that note, will you be looking out for RBLX stock now?
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Following that, we will be taking a look at Snap. Just like our first entry, the company’s work in the world of social media networking is notable. Through its camera-centric Snapchat app, Snap caters to a whopping 306 million daily active users. Not to mention, more than 200 million of these users actively engage in its AR Lens services daily.
In detail, Snap is among the first few social media platforms to integrate AR into its core offerings. Accordingly, this would give it a head start on the development of user-focused offerings of this kind in the metaverse. Even now, the company appears to be hard at work bolstering its user base. As of last week, Snap hired its first head of telecom carrier partnerships. Anne Laurenson is joining the company from Alphabet (NASDAQ: GOOGL) subsidiary Google.
During her time at Google, Laurenson reportedly oversaw the expansion of its Android operating system in Europe, the Middle East, and Africa. She did so through strategic partnerships with smartphone manufacturers and carriers. Likewise, Snap is looking to expand its market in countries like Indonesia and India where it recently hit 100 million monthly users. Given Snap’s current momentum on the operational front, would SNAP stock be worth buying in its current weakness?