Meta's Potential 5% Acquisition In Ray-Ban Maker Applauded By Jim Cramer: Wearable Tech Revolution Is A 'Big Deal'
Portfolio Pulse from Benzinga Neuro
Meta Platforms Inc. (NASDAQ:META) is set to acquire a 5% stake in EssilorLuxottica (OTC:ESLOY), the maker of Ray-Ban smart glasses. Financial expert Jim Cramer believes this move could significantly impact Meta's future in the wearable tech space. The deal, valued at approximately $5 billion, is expected to strengthen the partnership between the two companies and enhance Meta's position in the competitive wearable tech market. Meta's stock saw a rise following the news.
July 19, 2024 | 1:58 am
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EssilorLuxottica, the maker of Ray-Ban smart glasses, is set to receive a $5 billion investment from Meta Platforms Inc. This partnership is expected to boost the company's production and innovation in the wearable tech space.
The investment from Meta is likely to enhance EssilorLuxottica's capabilities in producing and innovating wearable tech, particularly smart glasses. This could lead to increased sales and market share, positively impacting the company's stock price.
CONFIDENCE 90
IMPORTANCE 85
RELEVANCE 80
POSITIVE IMPACT
Meta Platforms Inc. is acquiring a 5% stake in EssilorLuxottica, which could significantly impact its future in the wearable tech space. The deal is valued at approximately $5 billion and is expected to strengthen Meta's position in the competitive market.
The acquisition is a strategic move to enhance Meta's presence in the wearable tech market, which is becoming increasingly competitive. The positive market reaction and Jim Cramer's endorsement further support the potential short-term positive impact on Meta's stock price.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100
NEUTRAL IMPACT
Apple Inc. is reportedly developing its own AR smart glasses, which may not hit the market until 2027. This gives Meta a potential head start in establishing its dominance in the smart glasses sector.
While Apple is developing its own AR smart glasses, the delayed release timeline means that the immediate impact on Apple's stock is minimal. However, it highlights the competitive landscape in the wearable tech market.
CONFIDENCE 70
IMPORTANCE 50
RELEVANCE 30