8 Best Augmented Reality Stocks Under $5 to Buy

5) MicroVision, Inc. (NASDAQ:MVIS)

Stock Price as of 18 October: $1.12

Number of Hedge Fund Holders: 7

MicroVision, Inc. (NASDAQ:MVIS) develops and sells lidar sensors and software that is used in automotive safety and autonomous driving applications.

MicroVision, Inc. (NASDAQ:MVIS) continues to focus on the US and EU markets, where American lidar companies are favored. The company appears to be well-positioned to capture demand in the lidar market, given its product portfolio and focus on high-volume passenger car projects. It has sufficient liquidity and engineering resources to cater to capital needs for the upcoming 12 – 18 months.  MicroVision, Inc. (NASDAQ:MVIS) focuses on capturing market share in the industrial space by offering high-resolution lidar and advanced software solutions.

The company sees 905-nanometer lidar technology as stable and cost-effective for long-term automotive production. MicroVision, Inc. (NASDAQ:MVIS) targets deeper collaboration with automotive OEMs and customized software solutions.

Wall Street analysts believe that the company’s strategic initiatives and financial management demonstrate a positive outlook amidst the evolving lidar market. Given the targeted efforts in the automotive and industrial segments, together with a focus on American lidar technology, MicroVision, Inc. (NASDAQ:MVIS) appears to be well-placed to navigate the challenges and capitalize on the opportunities ahead.

With a potential ramp in revenues from multiple heavy equipment customers starting in 2025, MicroVision, Inc. (NASDAQ:MVIS) appears to be on a sustainable path for multiple years ahead as it secures higher volume automotive opportunities. With the lower cash burn in Q3 2024, the company has been realizing the benefits of improved productivity to extend its financial runway and execute near-term revenue opportunities. In Q3 2024, the cash used in operations came in at ~$14 million as compared to cash used in operations of $20 million.

Analysts at Cantor Fitzgerald reiterated a “Neutral” rating, giving a $3.00 price objective on 22nd July.