We don’t have the Metaverse yet, what we have Metaverse-like experiences, says Jefferies’ Andrew Uerkwitz. But from an investor’s perspective, what’s more important is to find out if there are opportunities that can already start benefitting from the euphoria around Metaverse.
Highlights from Uerkwitz’ interview with CNBC
According to Uerkwitz, Mark Zuckerberg’s vision of the Metaverse could take decades to realise, but the technology needed to build it is where the opportunity lies in the near term. To that end, one name in particular that pops out to him is Roblox Corp (NYSE: RBLX). On CNBC’s “Fast Money”, he said:
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Take a company like Roblox. There are brands tripping over themselves to build experiences in Roblox. That’s going to drive traffic, that’s going to drive engagement that will ultimately drive monetisation for a company like Roblox.
Roblox shares are up about 30% this week after reporting strong results for Q3. Uerkwitz also expects notable gaming companies like Activision Blizzard, Take-Two Interactive, and Electronic Arts to expand their footprint in Metaverse-like experiences as they are known to quickly follow the latest trends.
Could Nvidia be the way to play the Metaverse?
During the same interview, BKCM’s Brian Kelly picked Nvidia as a notable name to play the Metaverse space at this stage. He said:
Metaverse is going to be absolutely huge because it encompasses the whole globe. But that’s twenty years down the line. In the meantime, I think you can buy stuff like Nvidia and those type of things; kind of like the picks and shovels of it.
He’s also convinced that cryptocurrency could also offer some exposure to Metaverse as it could end up being the currency of the virtual world.
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