Meta Platforms, Inc. Is (Meta) the best metaverse stock to invest in?
Recently I published the list 12 Best Metaverse Stocks to Invest. In this article, we will introduce Meta Platforms, Inc. We’ll see where (NASDAQ: META) fights against the other best metaverse stocks to invest in.
Under the video game industry, Metaverse is a fast-growing digital frontier where immersive technology creates interactive virtual worlds. It is built on virtual reality (VR), augmented reality (AR), blockchain and mixed reality, providing simulated space for socializing, working, learning and playing. Essentially, it blends digital and physical reality to provide a customized, immersive experience through avatars, live communication, and spatial computing. Not only does users browse static web pages, they also move through dynamic 3D environments that mirror and enhance real-world interactions, marking the transition from simple apps to completely immersive virtual spaces. Metaverse is segmented into four types: life flowing, augmented reality, mirror world and virtual reality.
Metaverse grows primarily through the combination of content streaming and blockchain infrastructure. Blockchain has improved secure transactions, ownership of digital assets, and governance. These systems, like Roblox, support a user-driven economy where people build, sell and profit from a digital experience. At the same time, the rise of the world of 3D platforms, virtual markets and gaming is driving investment.
In 2024, the global video streaming market suited for immersive media was $67.425 billion. Business Research Company The global metaverse market is projected to grow from $227.05 billion in 2024 to $3163.4 billion in 2025, with a strong CAGR of 39.3%. on the other hand, S&P Global market Intelligence Global metaverse revenues are projected to rise from $17.5 billion in 2023 to $54.5 billion by 2028, with a CAGR of 25.5%. Companies have become a major customer segment based on the need for digital twin software and remote collaboration tools. According to S&Pthese companies strengthened their positions in 2023, accounting for 42.8% of the total metaverse market. Metaverse Services will be strengthened across the industry as large companies expand their virtual platforms and adopt faster streaming.
Furthermore, social media and the mobile internet are expanding the growth of the virtual ecosystem. With over 2.4 billion users on Meta (formerly Facebook) and billions of users on WhatsApp and YouTube, the digital world is more connected than ever. The boundary between digital and physical life blurs much of the daily activities that avoid expelling entertainment, shopping. This has encouraged the development of virtual learning, workplace collaboration tools and blockchain-based gaming economy. According to NewGenAppsVR and AR games are set to reach 216 million players worldwide by 2025, with the market worth $11.6 billion. Significantly, in a 2024 survey, 34% of game developers created titles for the global digital marketplace, Meta Quest Store, showing interest in developers that are strong in immersive gaming platforms.
Additionally, the Generated AI is reconstructing the next phase of metaverse, from custom content suggestions to auto-spreading, editing, and better visuals. Streaming platforms use large language models such as GPT-4 to create real-time content, ensuring moderated, and make digital interactions safer and more accessible. The broader metaverse is still under development, but technologies that bolster the virtual economy, such as Play-to-year gaming, NFT marketplaces and digital event tickets, are creating revenue opportunities for users and developers. Entertainment Software Association Every week, 227 million Americans played video games and reported an average age of 31. This illustrates the mainstream adoption of immersive content across different age groups. The combination of AI and VR/AR helps the platform expand beyond gaming and entertainment to healthcare and business applications.
Metaverse technology is advancing with low latency infrastructure as users want a more personalized, high-resolution experience. Platforms like Hesp.Live are changing streaming with ultra-fast delivery for gaming, education and live shopping. Initially, Metaverse faced a lot of backlash due to the inability to connect with users with less attractive experiences. Despite the lack of public talk since 2022, progress has not stopped. Metaverse is young and continuous improvement is ongoing. In addition to these advances, the growing demand for video-on-demand services shows how deeply the metaverse fits into digital viewing habits. With North America leading the market with key players and high digital spending, the Asia-Pacific region is also directed towards future growth with the rapid adoption of immersive technologies.
This indicates that metaverse is not merely a passing trend. It is a fundamental change that changes how people live, talk, and connect in digital spaces. As immersive environments disrupt traditional media, metaverse is becoming a promising investment.
To compile a list of the 12 best metaverse stocks to invest in, we first conducted a large-scale study to identify companies that have had major exposure to metaverse technology. First, we created an expanded list of affiliates using stock screeners, ETFs and online rankings. We then used data from Insider Monkey’s hedge fund database to extract the number of hedge fund holders that have invested in each company as of the fourth quarter of 2024. Finalists are stocks with the highest hedge fund interest.
Why are hedge funds interested in the stocks they accumulate? The reason is simple. Our research shows that mimic the top stock picks of the best hedge funds can outperform the market. Quarterly Newsletter’s strategy was to select 14 small and large caps per quarter, returning 373.4% since May 2014, surpassing the benchmark by 218 percentage points (For more information, please see here).
Meta Platforms, Inc. Is (Meta) the best metaverse stock to invest in?
A team of developers working together to create company messaging applications.
Number of hedge fund holders: 262
Meta Platforms, Inc. (NASDAQ: META) dominates the digital communications and virtual interaction space through its family of apps and reality labs. The app family includes Facebook, Instagram and WhatsApp, but Reality Labs is building metaverse infrastructure through AI hardware like VR, AR, and Smart Glasses. This portfolio ranks Meta as the best Metaverse stocks.
Meta Platforms, Inc. in the fourth quarter ending December 31, 2024. (NASDAQ: META) reported strong results of revenue growth of 21% to $48.4 billion. Meanwhile, operating income reached $23.4 billion, a margin of 48%, and net income reached $20.8 billion ($8.02 shares), exceeding market expectations. Additionally, the family app brought in $47.3 billion, while Reality Labs added $1.1 billion, while Meta reported an operating loss of $5 billion. The result was free cash flow to $13.2 billion, resulting in $77.8 billion in cash and marketable securities.
Additionally, Meta AI is advancing advances in AI and metaverse to serve users over 700m supported by a 2 Gigawatt AI data center and custom AI chips. Additionally, AI integration between Ray-Ban Meta Smart Glasses and the platform highlights the company’s wearable technology/AI strategy. At the same time, Meta Platforms, Inc. (NASDAQ: META) has begun integrating Meta AI into threads, WhatsApp and Facebook to get better engagement.
The first quarter of 2025 forecast revenues of between $39.5 billion and $41.8 billion. Despite Reality Labs’ losses, a strong app ecosystem, AI adoption, and advertising revenue provide Metaverse R&D cash flow. The company is struggling with regulatory challenges, with the advantage position of CAPEX, Scale and EarlyMovers Meta Platforms, Inc. (NASDAQ: META) is suitable for the long-term growth of immersive technologies.
Overall, meta 2nd place Our list of the best metaverse stocks to invest in, while acknowledging the possibility of meta, our belief lies in the belief that certain AI stocks offer higher returns and hold a greater promise to do so within a shorter time frame. There have been AI stocks that have risen since the beginning of 2025, and the popular AI stocks have lost around 25%. If you’re looking for AI stocks that are more promising than the meta, but are trading below 5 times the revenue, check out our report on this Cheapest AI stocks.
