The Augmented Reality (AR) market is making waves in the tech market. According to market analysts, the AR market has a market size of $42.48 billion as of 2024. However, that emerging business may soar over the next five years, growing at a compound annual growth rate of 42.36%. With this growth, there are multiple options of stocks to invest in if you want to capitalize on the upcoming growth. Two of the best options are arguably Advanced Micro Devices (AMD) and Meta Platforms (META). However, if you had to choose one, which is the best bang for your buck?

Meta, the creators of Facebook, expect their stock to be the head of the AR stock climb in 2025. However, AMD may not be far behind. Although the AR market is around a decade away from attaining its full potential, several technological advancements in the industry are accelerating its pace. With tech giants looking to capitalize, AMD is also a contender for one of the best AR stocks to invest in now. The semiconductor company produced chips that power immersive experiences in various AR and VR devices. Some of these experiences include Sony’s PlayStation 5 and Microsoft’s Series X|S game consoles. In addition, AMD’s Radeon Pro Duo with its LiquidVR SDK is a powerful platform aimed at all aspects of VR content creation.

On the other hand, Meta Inc is also increasingly becoming a powerhouse in AI and AR. The company has made much progress toward AR and VR technologies, releasing an AR prototype called Orion. Additionally, Reality Labs, Meta’s division for AR and VR innovations, is known for its substantial financial investments in these emerging consumer platforms. With all hands on deck, Meta competes for the front seat in the emerging AR market, putting its investors in a great position with their stock shares.

Which AR Stock Should You Jump On: AMD or META?

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Source: WatcherGuru

As a Mag-7 stock, Meta is a premium option for investors, expected to continue its recent growth into 2025. However, with being a premium stock META also has a premium price. At press time, the Facebook creator’s stock is trading at 630.79 after hours, up 24% in the last six months. While the price is steep, META expects to climb further next year amid the AR stock surge.

Meanwhile, AMD stock hasn’t had as good of a 2024, in part thanks to rival Nvidia. The stock has fallen 17% in the same six months that Meta and NVDA have risen. However, the stock received a bit of a pickup in investor confidence following the departure of Intel CEO Pat Gelsinger. Intel is another rival in the tech space of Advanced Micro Devices and Nvidia, and their recent struggles have only helped AMD and NVDA.

Also Read: Amazon (AMZN) Named Top Stock For 2025 by TD Cowen: Here’s Why

Which stock is best to buy depends on potential FOMO in “buying the dip” of AMD. The stock expects to have a rebound come 2025, which could vary in gains. Meta, meanwhile, is also expected to climb but is trading at a far higher price. Therefore, your portfolio size and investable cash availability will play the biggest factor in your decision of which stock to invest in.