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Despite reporting lower-than-expected third-quarter earnings, VUZI’s shares advanced significantly on November 9. The price rise was mainly a result of management’s bullish outlook. The company expects to introduce four new smart glasses products in 2022 and plans to diversify its sales channels to make way for additional new market adoptions globally. Also, VUZI expects to deliver revenue growth sequentially in the current quarter. However, the shares’ gains were not sustained as they plunged 10.3% in price in their last trading session.
The augmented reality space has excellent scope for growth and possesses immense opportunities. Still, considering its weak bottom line and low-profit margins, VUZI needs to drive substantial growth to strengthen its position in the industry. Furthermore, its 1.43 beta indicates high volatility.
