Vuzix Corporation (VUZI) is our new Nasdaq alert and this technology company has major potential in a segment that Apple’s CEO believes “is going to change the way we use technology forever.”
This segment is Augmented Reality (AR) and VUZI has a strong position in this segment as we believe they have the largest portfolio of patents covering augmented-reality technology and the most advanced intellectual property in this space.
According to a very recent Bloomberg article, Apple is seeking a breakthrough new product to succeed the iPhone, and aims to have technology ready for an augmented-reality headset in 2019 and could ship an augmented-reality product as early as 2020. Below is an excerpt from the article.
“Apple Chief Executive Officer Tim Cook considers AR less isolating than VR and as potentially revolutionary as the smartphone. He has talked up the technology on Good Morning America and gives it as almost much attention during earnings calls as sales growth. “We’re already seeing things that will transform the way you work, play, connect and learn,” he said in the most recent call. “Put simply, we believe AR is going to change the way we use technology forever.””
Bloomberg went onto say, “While virtual reality immerses the user in a digital world, augmented reality overlays images and data on the real one. The applications for AR are endless, from a basketball fan getting stats while watching a game to a mechanic streaming instructions on how to fix a specific piece of equipment. Apple isn’t the only company working on the technology. Google, which drew derision for $1,500 smart glasses a few years ago, is developing a business-oriented variant.“
In 2013, Prior to Apple launching its Touch ID fingerprint recognition advanced security technology, it first acquired a company named AuthenTec for $356M at a 60% premium over its share price. AuthenTec had the the largest portfolio of patents covering fingerprint recognition technology and the most advanced intellectual property in that space, so it made all the sense in the world to acquire this company at a premium.
Vuzix has strengthened the company’s intellectual property patent portfolio and leadership position in the area of optics, head mounted displays, and smart glasses over the past 12 months and now has 59 patents and 42 pending compared to 43 patents and 23 pending a year ago.
Paul Travers, President and CEO of Vuzix, commented “One of our corporate goals has been to broaden and expand our intellectual portfolio of patents in the corner stone area of Augmented Reality and smart glasses. To that end, over the last 12 months, the Vuzix’ portfolio has expanded to over 100 patents and patents pending; in areas from advanced display engines to waveguide optics as well as key technologies to develop fashion based smart glasses. Vuzix continues to innovate and expand our portfolio of intellectual property that is primarily focused on the next generation of disruptive wearable technology and displays.“
Vuzix (VUZI) is a leading supplier of Smart-Glasses and Augmented Reality (AR) technologies and products for the consumer and enterprise markets. The Company’s products include personal display and wearable computing devices that offer users a portable high-quality viewing experience, provide solutions for mobility, wearable displays and virtual and augmented reality.
The company holds 59 patents and 42 additional patents pending and numerous IP licenses in the Video Eyewear field. The Company has won Consumer Electronics Show (or CES) awards for innovation for the years 2005 to 2017 and several wireless technology innovation awards among others.
VUZI has a history of major upside leading into the Consumer Electronics Show (CES) where the company has won numerous awards year after year. CES is a global consumer electronics and consumer technology tradeshow that takes place every January in Las Vegas, Nevada.
As you can see from this monthly chart
is known for trading higher in the months leading up and into CES. Last year, VUZI
went from $5.75 in November to $8.50 in a month span. In 2015, VUZI
went from $5 in November to highs of $8.56 in December. In 2014, VUZI
rallied from the low $3 range in November to the $7.50 range in January of 2015.
VUZI has already experienced an uptick this November moving from about $5 to $6 in a few weeks and this could be the start of another major rally leading into CES.
“The anticipation around the Vuzix Blade™ has been very strong, and it’s coming from all corners. From our current development partners, to Fortune 500 companies, to wireless firms, to high fashion retailers and social media giants. Clearly there is robust demand for this kind of device and the Blade and Vuzix are leading the way,” said Paul Travers, President and CEO of Vuzix.
The company also released more important news last week that VUZI has over 350 companies running M300 pilots in over 1000 locations in 45 countries with plans underway to expand distribution to a further 55 countries worldwide. Read the news below.
“Since the commercial launch of the M300, Vuzix and its VIP partners and direct customers have completed dozens of pilot programs, that are now resulting in commercial volume follow-up orders which are being fulfilled with our tested and optimized M300 Smart Glasses that are now in full volume production,” said Paul Travers, President and Chief Executive Officer at Vuzix. “It’s very apparent to us that the enterprise smart glasses industry has shifted into the adoption phase and should undergo strong growth rates consistent with market researcher’s forecasts of hundreds of thousands of devices being required globally in 2018. We are confident that Vuzix will participate broadly in this growth with its industry leading M300 Smart Glasses.“
In addition, the CEO and CFO together have insider ownership of +18% and Intel Corporation has a 20% ownership of VUZI.
The wearable display market opportunity is expected to be $150B by 2020 and IDC expects AR headset sales to reach $49B by 2021.
is an early leader in the wearable display market and Management
has 30+ years of experience in wearable display technology, leveraging a strong track record of innovation and
heritage originally in the US defense and military markets.
VUZI currently has a very low market cap of $131 million and could present a major opportunity in this huge growth segment that is expected to be $150 billion by 2020.
VUZI makes AR products that are solving solutions today and providing massive return on investment. These products create a fundamental shift in how business gets done is why major companies like Intel, Blackberry, Toshiba, DHL, GE, Bosch, Toyota, and many other are involved with Vuzix.
Make sure to start your research now and learn more about Vuzix Corportation (VUZI
) from their website and make sure to watch this video with the CEO here