There is one popular investor who has remained really quiet about the metaverse and its potential. Warren Buffett has not ever really been a big fan of many tech stocks. Unsurprisingly, the multibillionaire has not publicly hopped onboard the metaverse bandwagon.
However, do not think for a second that Warren Buffett would not like to profit from the metaverse if it takes off as many predict it will. And Buffet already has a dog in the hunt. Here is Buffett’s favorite metaverse stock.
The apple of Buffett’s eye
There are actually several metaverse stocks that Buffett likes which might win in the metaverse. Berkshire scooped up some shares of Activision Blizzard in Q4 of 2021. Microsoft announced its plans this past month to acquire the gaming company, saying that the deal would be helpful in “provide building blocks for its metaverse.”
Berkshire also owns a large stake in Chinese battery and EV maker BYD. The business recently applied for a trademark “BYD Metaverse.”
However, Warren Buffett’s favorite metaverse stock happens to be the apple of his eye. Apple comes in ranked by far as the largest holding in Berkshire’s equity portfolio. Warren Buffett has even said in the past that Apple is “probably the best company I know of in the world.”
Missing out on the metaverse?
But should Apple really be seen as a metaverse stock? After all, Apple did not join in the metaverse frenzy this past year. As recently as just a month ago, you could find articles that discussed how Apple did not have any major metaverse plans in the works.
Apple CEO Tim Cook has set the record straight, though, with what he said in the company’s 2022 Q4 conference call. Cook was questioned about Apple’s possible role in the metaverse. He said that Apple is “in the innovation business” and is “always exploring emerging and new technologies.”
Cook also noted that there are over 14,000 augmented reality kit apps in the company’s App Store. He also added, “We see that there’s a lot of potential in the metaverse space and we are investing accordingly.”
It should not be surprising at all that Apple does indeed have plans to be a player within the metaverse space. The company has consistently been the main innovator in consumer tech. Apple is reportedly creating an AR/virtual reality headset and AR glasses. The potential of the metaverse for these devices is big– even if Apple may not hype it up as much as some would like.
This giant should keep growing
The metaverse is just one possible growth driver for the company. The smartphone market around the globe continues to grow. Increased availability of 5G provides a strong tailwind on this front for Apple.
Apple is also reportedly creating a self-driving vehicle. Analyst Katy Huberty believes that Apple can double its revenue if it dives into the self-driving EV market.
Warren Buffett may remain quiet about the metaverse for now. But the performance of his stake in Apple might do all the talking that is needed. This tech giant should continue to grow a lot bigger over the next ten years and beyond.