Meta's 34% Year-to-Date Surge and a 5% Stake in EssilorLuxottica Transform Ray-Ban Smart Glasses and Reshapes Its Stock Trajectory

Author: Zaheer Anwari | July 19, 2024 03:59pm

• Meta has purchased a 5% stake in EssilorLuxottica for 4.33 billion euros.
• Market analysts remain optimistic about the growth potential of Ray-Ban smart glasses as Meta continues to enhance its product offerings.
• Following Meta's announcement of its investment in EssilorLuxottica, the eyewear company's stock rose by 3%.
• Meta's own stock has experienced volatility but maintains a 34% growth year-to-date.

 

Meta Platforms Inc (NASDAQ:META) has acquired about 5% of EssilorLuxottica, worth 4.33 billion euros, to strengthen its role in developing Ray-Ban smart glasses. This partnership with EssilorLuxottica, a leading eyewear company, shows Meta's dedication to growing in the smart wearable tech sector.

Their collaboration has already led to successful new versions of Ray-Ban smart glasses, which have sold better than previous models. These glasses now include Meta's AI assistant and can livestream directly to social media, blending fashion with technology.

Market analysts are optimistic about the future of Ray-Ban smart glasses as Meta continues to improve its products.

The expected release of a third-generation model by the 2025 holiday season raises expectations, positioning Meta as a strong competitor against other tech giants like Apple, who are also investing in similar technologies.

In the financial markets, EssilorLuxottica's stock rose by 3% after Meta announced a potential investment, showing positive investor sentiment.

However, Meta's stock has had a rough ride leading up to its earnings release on July 31. After hitting a record high of $542 on July 8, it dropped over 12%, falling below the $500 mark.

Currently, Meta's stock is fluctuating between $414 and $542 and has been in this range since April 8. Breaking through the $500 barrier and retesting its all-time high will be crucial for its future direction.

Despite recent setbacks, Meta's year-to-date growth is 34%, indicating underlying strengths that could boost bullish momentum if current market challenges are overcome.

After the closing bell on Thursday, July 18, the stock closed at $475.85, trading up by 3.06%.

This article is from an unpaid external contributor. It does not represent Benzinga's reporting and has not been edited for content or accuracy.

Posted In: META