5 Best Virtual Reality Stocks to Invest In

2. Meta Platforms, Inc. (NASDAQ:META)

Number of Hedge Funds Holders: 225

In October 2021, Meta Platforms, Inc. (NASDAQ:META), previously recognized as Facebook, underwent a name change to underscore its dedication to the metaverse concept. Since then, the company has committed significant financial resources, amounting to billions of dollars, to pursue metaverse ventures via its Reality Labs division. Moreover, Meta Platforms, Inc. (NASDAQ:FB) offers the Meta Quest series of virtual reality devices, along with associated software and metaverse-oriented content accessible through the Meta Quest Store. This platform empowers individuals to engage in diverse virtual encounters, spanning realms like gaming, fitness, and entertainment. The most recent version of its flagship offering, the Meta Quest 2, has garnered favorable feedback and enhances accessibility to VR by featuring a reduced price compared to its predecessor.

According to Insider Monkey’s first quarter database, 225 hedge funds were long Meta Platforms, Inc. (NASDAQ:META), compared to 220 funds in the prior quarter. Billionaire Philippe Laffont’s Coatue Management is one of the largest stakeholders of the company, with a position worth $1.62 billion.

Artisan Value Fund made the following comment about Meta Platforms, Inc. (NASDAQ:META) in its Q1 2023 investor letter:

“Our top contributors in Q1 were Meta Platforms, Inc. (NASDAQ:META), Warner Bros Discovery (WBD) and FedEx. Following sharp declines in 2022, shares of Meta Platforms have more than doubled since their early November 2022 lows. Last year’s drawdown created a highly favorable risk-reward, which we took advantage of by adding to our position. Management has wisely, in our view, recalibrated its spending plans to focus on profitability amid a weaker advertising environment, increased TikTok competition and Apple’s privacy changes. While investors got ahead of themselves back in 2021, extrapolating pandemic growth rates into the future, Meta is still a highly successful enterprise generating over $120 billion of revenue annually on a run-rate basis and has more than $40 billion in cash on its balance sheet to help it navigate its future course. Recent usage and engagement trends for Facebook and Instagram have been positive, and Reels—Meta’s answer to TikTok—is gaining traction.”