3 Augmented Reality Stocks That Could Improve User Experiences

The concept of augmented reality (It) has pushed virtual reality (VR) largely out of the realm of technological speculation. This is because general applications of augmented reality lend themselves more to everyday use than the mainly entertainment-focused realm of VR. For example, the most commonly touted sectors that AR could improve are education, retail, healthcare, and defense. With these industries supporting the growth of the sector, there are some augmented reality stocks to watch in the coming years.

In addition, many augmented reality stocks on this list come from companies with broader revenue streams than just AR, which means investors have more security for their AR tech speculation. Beyond that, investors can closely monitor the impact of AR technology on these companies by analyzing how their shares respond to news of its development. So either by improving productivity or disrupting existing technology trends, these three augmented reality stocks could become profitable long-term positions for investors.

Apple (AAPL)

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We talked often from Apple (NASDAQ:AAPL) slowing innovation in the consumer tech industry, a sign that the stock’s best days may be behind it. After all, the tech giant continues to release minor revisions to well-established products, lacking any serious market engine it once produced. However, the company’s foray into augmented reality, which it insists on calling “spatial computing,” the Vision Pro, is still somewhat of a non-starter for most consumers.

Whatever it’s called, Apple’s move into AR stock signals two things: It recognizes the market’s future potential, and it plans to refine its latest design over time. As with its previous products, Apple will make incremental improvements until it can reduce costs. This presents a chance to invest in a profitable top-tier stock as Apple enters the AR market.

Moreover, with a tendency to release a budget model, usually under the “SE” or “Air” moniker, Apple could bring augmented reality to a much wider set of consumers if its applications warrant it.

Lenovo Group (LNVGY)

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Lenovo Group (OTCMKTS:LNVGY), which has been widely recognized for its affordable consumer laptops, is making inroads into the premium enterprise market with its augmented reality headset. The move likely aligns with predictions that China’s AR market will reach $12.4 billion by 2029, capitalizing on Lenovo’s strong position domestically. Even US companies may find Lenovo’s specialized headsets hard to overlook.

Lenovo currently offers the ThinkReality A3, a dedicated AR headset designed for manufacturing and engineering applications. This goggle-style wearable excels at designing real-time overlays in the user’s field of view, enabling features such as live instruction for manufacturing equipment and virtual sharing of designs for design teams.

Essentially, Lenovo is introducing a high-end product tailored to a niche of business users in its broader consumer electronics market. This AR business holds both potential and security, making Lenovo a compelling investment opportunity.

Meta Platforms (META)

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One of the early adopters of virtual and augmented reality technology, Meta platforms (NASDAQ:THE TARGET) was relatively optimistic about its products in the sector. For now, its recent partnership with EssilorLuxottica (OTCMKTS:ESLOY) to produce AR-based Ray Bans has been slow to gain traction with everyday users. These slower adoption curves and the high costs of early models of AR glasses keep the technology out of reach for the average person. However, Meta continues to persist in its investment and development strategies, hoping to push AR adoption to a point where it becomes a mainstay of the technology.

Recently, the company’s founder and CEO Mark Zuckerberg gave an interview in which he claimed that the next iteration of Meta’s AR glasses will be a “big collaboration” as the company gets closer to unveiling the next generation. However, despite this confidence from Zuckerberg, the prototype will not be available to the general public until a consumer version is released in 2027. As such, buying Meta stock now would be investing in AR technology for the long term.

At the time of publication, Viktor Zarev did not hold (either directly or indirectly) any position in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to InvestorPlace.com Publishing Guide.

At the time of publication, the responsible editor had (either directly or indirectly) no position in the securities mentioned in this article.