The metaverse provides new opportunities for different types of technology. Grand View Research estimates that the market for the metaverse will be $ 47 billion in 2022. It expects the market to grow to $ 679 billion by 2030, a 39% annual growth!
The question for investors: What are the costs to help them thrive in this high -growth market? While many prices will increase due to the metaverse, investors may want to take a closer look Advanced Micro Devices (AMD -3.02%), Qualcomm (QCOM -2.77%)a Shopify (GROCERY STORE -9.14%). Let’s take a closer look at these three metaverse prices and why this is a good time to buy into their potential.
1. Advanced Micro Devices
AMD is a leading developer of CPUs and GPUs, focusing on video game and data center segments. In addition, Xilinx’s acquisition increased AMD’s supercomputing power and added a radio frequency identity (RFID) chip to its portfolio. Such sacrifices drew the attention of Meta Systemsand parent Facebook announced last year that it would help AMD’s EPYC developers run its data servers.
In addition, AMD continues to capture the market from long -term competition Intel. It claims a historic 28% market share in the manufacturing process market, according to Mercury Research. In addition, the re -acquisition of Pensando should increase the company’s data center and scalability.
The financial experience of the industry can be seen in these jobs. In the first quarter of 2022 (ending March 26), AMD’s revenue increased by $ 5.9 billion by 71% over previous year levels. In addition, the $ 1.6 billion in non -GAAP revenue earned by the industry during the quarter was an increase of 42% compared to the same quarter last year. Higher operating costs and a $ 293 million amortization fee on the acquisition of intangible assets weigh in on income.
In addition, despite the decline in recent months, the price of AMD has increased by 35% in the past year. That increase brought his P / E ratio to 40, well below the competition’s 53 earnings Nvidiait would be a very good choice for developers who want to incorporate this part of the metaverse but consider Nvidia at a premium.
The communication chip industry is evolving beyond smartphone chipsets, and one area of interest is the metaverse. In addition, like AMD, it has integrated Meta Platforms.
However, it is already involved in providing semiconductors for Oculus VR glasses. In addition, it is combined with Microsoft. Qualcomm will control the company’s AR mirrors and Microsoft Mesh, which support holographic images in a virtual setting.
More importantly for investors, Qualcomm offers a unique opportunity. In the first six months of fiscal 2022 (ending March 27), revenue of $ 21.9 billion increased 35% over the first six months of fiscal 2021. Revenue rose faster. money at the time, up 50% and more than $ 6.3 billion as The company’s cost and revenue growth was 22%.
Despite that growth, the stock grew slowly over the years. However, the P / E ratio dropped to just 14, lower than any other major chip except Intel. Given the low score and rapid revenue growth, investors may want to buy this metaverse price as it is relatively affordable.
Shopify publishers may find it best for e-commerce sites, a business with no connection to the metaverse. However, Shopify has made it possible for its customers to demonstrate the AR and 3D capabilities of their product on the Shopify platform. In addition, it integrates these features into a single software called ARitize3D, an improvement over previous versions that requires many applications to monitor.
Plus, Shopify offers additional resources to buy now and last forever. It provides services such as economics for foreign and domestic stores, payment transfer, and border transfer. However, it appears that he gained more knowledge as a software business by establishing the Shopify Fulfillment Network (SFN). SFN processes, packages, and ship orders are a service not provided by its software competitors.
These services helped Shopify generate $ 1.2 billion in revenue in the first quarter of 2022, up 22% annually. Rapid increases in expenses and an increase in income taxes brought revenue to $ 25 million, down from $ 254 million a quarter last year.
But despite these economic struggles, the industry expects conditions to improve by a fourth. In addition, a 70% drop in stock prices last year could pay investors for such struggles. His P/S ratio of about 10 is at its lowest level in six years. As Shopify leads the growth of e-commerce in and out of the metaverse, the store needs to continue its high-rise movement.
Randi Zuckerberg, former director of market development and spokesperson for Facebook and sister of Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool’s board of directors. Healy has positions in Advanced Micro Devices, Qualcomm, and Shopify. Motley Fool has a position and promotes Advanced Micro Devices, Intel, Meta Platforms, Inc., Microsoft, Nvidia, Qualcomm, and Shopify. Motley Fool suggests other options: long January 2023 $ 1,140 phone on Shopify, long January 2023 $ 57.50 phone on Intel, short January 2023 $ 1,160 phone on Shopify, and short January 2023 $ 57.50 phone on Intel. Motley Fool has an advertising policy.