This Is Why Matterport Stock Should Be in All Portfolios

MTTR stock - This Is Why Matterport Stock Should Be in All Portfolios

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The last time I weighed in on Matterport (NASDAQ:MTTR) stock, I said, “there is plenty to get excited about. Not only is Matterport exposed to a potential $829 billion metaverse market by 2028, it is also exposed to a potential $48.2 billion digital twin market by 2026.” That was on March 31, when MTTR stock traded at $8.12. And while the stock has pulled back to $6.54 since then, I’m still just as bullish.

I’m also a bit frustrated by how poorly it’s performing, despite its growth.

Top Reasons to Consider Matterport Stock Now

For one, if you take a look at the company’s February 2022 investor deck, total subscribers were up 98% year over year. 2021 subscription revenues were up 47% year over year.

Guidance is just as impressive. In fact, subscription revenue expected to grow to $17.1 million to $17.4 million from $16.5 million quarter over quarter.

Two, Matterport could have massive exposure to a potential $829 billion metaverse market by 2028, according to Emergen Research. That’s because the company builds the cameras used for virtual and 3D imagery used in the metaverse.

Three, the company could be exposed to a potential $48.2 billion digital twin market. As I noted in March, “Meta Platforms (NASDAQ:FBpartnered with Matterport and will release a collection of digital twins made up of residential and commercial real estate from real world environments. The company is also working with Amazon’s (NASDAQ:AMZN) Web Services Marketplace to help developers create digital twins for the Internet of Things.”

Analysts seem to like the MTTR stock, too

Cathie Wood’s Ark Autonomous Technology & Robotics ETF (BATS:ARKQ) just bought around 535,000 shares of the MTTR stock. Wood believes the metaverse and the digital twin market could impact just about every sector of the economy. In addition, Morgan Stanley analyst Elizabeth Porter just initiated coverage with an “equal weight” rating, with a price target of $9 a share, as noted by TheFly.com. She also noted that MTTR is “a first mover in the digital transformation of physical spaces.”

In short, there’s a lot going on with Matterport. Given time, I still think the stock can double, if not triple. All thanks to its exposure to the metaverse and the digital twin market.

On the date of publication, Ian Cooper did not have (either directly or indirectly) any positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Ian Cooper, a contributor to InvestorPlace.com, has been analyzing stocks and options for web-based advisories since 1999.


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