Augmented reality (AR) aims to enhance our natural world through technology. The interactive experience uses computer-generated information to enrich what we perceive in the natural world.
The AR market is growing fast as more companies and people embrace this technology. According to data by Statista, the AR market will top $62 billion in 2029. That implies a 9% compound annual growth rate over the next few years.
Many companies are working toward capturing a slice of the AR market. Here's a look at some of the top augmented reality stocks.
Best augmented reality stocks
Several companies are working on augmented reality technology. Here's a list of some of the best augmented reality stock picks:
| Name and ticker | Market cap | Industry |
|---|---|---|
| Meta Platforms (NASDAQ:META) | $1.6 trillion | Interactive Media and Services |
| Alphabet (NASDAQ:GOOG) | $3.4 trillion | Interactive Media and Services |
| Nvidia (NASDAQ:NVDA) | $4.9 trillion | Semiconductors and Semiconductor Equipment |
| Apple (NASDAQ:AAPL) | $4.0 trillion | Technology Hardware, Storage and Peripherals |
| Microsoft (NASDAQ:MSFT) | $3.8 trillion | Software |
| Qualcomm (NASDAQ:QCOM) | $195.2 billion | Semiconductors and Semiconductor Equipment |
| Unity Software (NYSE:U) | $16.0 billion | Software |
Here's a closer look at these top growth tech stocks focused on augmented reality.
1. Meta Platforms
NASDAQ: META
Key Data Points
Social media giant Meta Platforms (META -1.64%) has been investing heavily in building other technology platforms. The company's Reality Labs segment is building augmented reality, virtual reality (VR), and artificial intelligence (AI) tools and services like Oculus, Spark AR, and Orion AI Glasses.
Meta Platforms has partnered with Ray-Ban to develop smart glasses technology. The glasses can take photos and videos, make calls, and live stream. With Meta AI, it can also, for example, translate text in real-time or tell you the history of a building you are looking at.
The company sees a massive opportunity for AR glasses powered by AI. CEO Mark Zuckerberg commented on the company's opportunity in glasses on its first quarter earnings conference call in early 2025:
Glasses are the ideal form factor for both AI and the metaverse. They enable you to let an AI see what you see, hear what you hear, and talk to you throughout the day. And they let you blend the physical and digital worlds together with holograms. More than a billion people worldwide wear glasses today, and it seems highly likely that these will become AI glasses over the next five to 10 years.
2. Alphabet
NASDAQ: GOOG
Key Data Points
Alphabet (GOOG +0.78%) is the corporate umbrella company that holds the iconic Google search engine and YouTube online entertainment channel. The company also has several "other bets," including cybersecurity company Chronicle and autonomous driving technology venture Waymo.
Google is using AR in various ways. For example, Live View on Google Maps allows users to quickly orient themselves to the area around them and know which way to go via directions overlaid on the live screen of their surroundings. Meanwhile, Google Lens allows users to search what they see. They can scan and translate text, search for an item that caught their eye, or identify plants and animals. The company's AR technology is making it easier for people to discover the world around them.
Google is also developing AR glasses and VR headsets. It's also following Meta by integrating AI into those products to enhance the user experience.
3. Apple
NASDAQ: AAPL
Key Data Points
Apple (AAPL -0.49%) is a leader in developing technology with the goal of making life easier. It's increasingly using AR to enhance the physical world. Apple has the world's largest AR platform, with hundreds of millions of AR-enabled devices, as well as thousands of AR apps available on its App Store. Users can download AR-enabled apps such as Snapchat (SNAP -0.06%), IKEA Kreativ, iScape, and others that enhance the physical world through an iPhone or iPad.
In addition, the company is exploring many ways to use virtual reality with AR. Apple is developing wearable computing technology. The company launched its first AR/VR product, Apple Vision Pro, in early 2024. The spatial computing product blends digital content with your physical space.
Apple is also joining its fellow tech titans in trying to tap the massive potential market opportunity for smart glasses. It aims to launch its smart glasses in 2026.
4. Microsoft
NASDAQ: MSFT
Key Data Points
Microsoft (MSFT -0.17%) is investing in leading-edge technologies like cloud computing, AI, and AR/VR. The company launched its first mixed-reality product, HoloLens, which overlays digital images in the physical world. The updated HoloLens 2 is a holographic device designed to help businesses improve accuracy and output. However, it has since discontinued those products.
Microsoft is working on other aspects of AR, including AI, AR software, processing, lenses, and sensors to create even more immersive experiences for users. For example, it's also working on AR smart glasses featuring its co-pilot AI technology. The company sees lots of business uses for the technology, including training, support, and customer service across a range of industries.
5. Qualcomm
NASDAQ: QCOM
Key Data Points
NASDAQ: NVDA
Key Data Points
Nvidia (NVDA +2.17%) is also working on the technology needed to make VR a reality. For example, Nvidia CloudXR delivers VR and AR across 5G and Wi-Fi networks. It allows users to stream AR through devices without using wires.
Nvidia is also developing technology that incorporates AR into cars. The Nvidia Drive AR processor gathers information and displays it for a driver using AR. The system will show driving stats, points of interest, alerts, and other information.
7. Unity Software
NYSE: U
Key Data Points
Unity Software (U -0.90%) makes a game engine to create video games. Developers can use its platform to create 2D, 3D, VR, and AR video games and other applications for smartphones, PCs, tablets, and other devices.
The company has created an integrated platform that allows developers to make immersive AR projects a reality. Unity's solution combines a leading software development platform with purpose-built tools that allow creators to bring their vision to life.
Unity Software's solutions go beyond gaming. For example, its technology can also help transform healthcare systems by enhancing medical training and patient care through immersive XR technology.
Pros and cons of investing in augmented reality stocks
Augmented reality has both benefits and risks that investors should consider before buying stocks focused on the sector. Some of the pros of investing in augmented reality stocks include:
- Growth potential: AR is a potentially large and growing market opportunity.
- Enhances other technologies: Increased AR usage could drive additional growth for technologies such as video games, smart glasses, and e-commerce.
On the other hand, there are some cons to investing in AR stocks:
- Few pure plays: Most of the early AR leaders are large technology companies with diversified businesses. As a result, investors don't have many pure plays on the technology.
- A smaller market opportunity: While AR is a potentially multi-billion-dollar market opportunity, it's not as big as other major tech megatrends, such as cybersecurity, cloud computing, and AI.
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How to invest in augmented reality stocks
Anyone can invest in augmented reality stocks. Here's a step-by-step guide on how to add them to your portfolio:
- Open your brokerage app: Log in to your brokerage account where you handle your investments.
- Search for the stock: Enter the ticker or company name into the search bar to bring up the stock's trading page.
- Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
- Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
- Submit your order: Confirm the details and submit your buy order.
- Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.
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