12 Best Virtual Reality Stocks to Buy According to Analysts

3. NVIDIA Corporation (NASDAQ:NVDA)

Analyst Upside: 58.27%

Number of Hedge Fund Holders: 223

NVIDIA Corporation (NASDAQ:NVDA) designs and manufactures computer graphics processors, chipsets, and other multimedia software. It operates in the Compute & Networking and Graphics Processing Unit (GPU) segments. The company’s shares have grown by more than 22,000% in the past decade, and it now has a market cap of around $3 trillion. This makes it the third-largest company in the world. Since VR requires powerful GPUs for operation, NVIDIA Corporation’s (NASDAQ:NVDA) GeForce RTX GPUs hold the potential to power the ultimate VR experience. GeForce RTX GPUs offer plug-and-play compatibility with all of the top VR headsets.

In addition, the company has developed VRWorks, a range of APIs, libraries, and engines that allow headset and application developers to create exceptional VR experiences. VRWorks offers various other advantages, including boosting advanced VR performance through an increase in application rendering efficiency and image quality, easy integration, and unlimited configurability.

NVIDIA Corporation (NASDAQ:NVDA) reported a record full-year revenue of $130.5 billion for fiscal 2025, up 114% from last year. Non-GAAP diluted EPS was $2.99, increasing 130% from a year ago. Fiscal Q4 2025 marked another record quarter for the company, with a revenue of $39.3 billion, up 12% sequentially and up 78% year on year. These trends highlight the company’s continued profitability, ranking it third on our list of the 12 best virtual reality stocks to buy according to analysts.

Brown Advisors Global Leaders Strategy stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its Q4 2024 investor letter:

“The main driver of our 2024 relative underperformance was not being invested in NVIDIA Corporation (NASDAQ:NVDA). Since ChatGPT introduced the power of generative artificial intelligence to the world on 30 November 2022, the Global Leaders Strategy has outperformed its benchmark despite being underweight the USA and specifically underweight the “Magnificent Seven”.7 2024 underperformance of -2.81% versus our benchmark was almost precisely matched by the individual outperformance of NVIDIA, which we did not own. On balance the rest of the portfolio is doing just fine albeit with areas of strength (AI) and weakness (EM financials) discussed below.

We wrote about the concentration within global indexes last year and this continued with only 29% of companies within the ACWI Index at the start of 2024 outperforming this benchmark over the year. Our capital allocation added value in 2024 as five of our top ten largest weights over the year were also in our top ten percentage winners. Conversely, within our ten worst performers, seven were also amongst our smallest ten weights. Capital allocation is critical when index hit rates are below 50%…” (Click here to read the full text)