Consumers are becoming more and more enthusiastic about the idea of wearable technology, and as a result wearable technology stocks may be poised for growth.
Like other sectors in the world of technology, the wearable technology market has increasingly gained popularity over the last several years. Consumers are becoming more and more enthusiastic about market, which has lead to a rise in investor interest in wearable technology stocks.
Case in point, according to a “Wearable Technology Market–Global Opportunity Analysis and Industry Forecast, 2014-2022” report released by ReportBuyer, the wearable technology sector is poised to reach $57.65 billion by 2022–up from $19.63 billion 2016, representing a compound annual growth rate (CAGR) of 16.2 percent over that time frame.
Similarly, research done by Market and Markets expects the wearable technology industry to reach $51.6 billion by 2022 at a CAGR of 15.51 percent from 2016 and 2022.
With those numbers in mind, it’s worthwhile for investors to be aware of the major wearable technology stocks in the space.
The wearable technology stock market is dominated by a small handful of major players. As such, a good place to start might be the list of publicly traded wearable technology stocks on US exchanges, according to InvestSnips. However, like InvestSnips highlights, a number of the larger-scale companies listed below are involved in other areas outside of wearable technology, but are still mammoths within the industry alone.
Here’s a closer look at 6 large-scale and mid-cap wearable technology stocks, as per InvestSnips. The companies listed below are in alphabetical order.
1. Alphabet (NASDAQ:GOOGL)
Market cap: $720.15 billion; current share price: $1,044.12
Alphabet is the parent company of Google, and has a variety of products in the wearable technology market. One of its former wearable technologies includes Google Glass, which was an optical head-mounted display shaped like eyeglasses that has since been discontinued.
Focus has since shifted to its new wearable, Verily, which is making headlines. According to the Verily blog, the new wearable is a study watch. According to the post, the ability to capture health data is “critical to the success of continuous care platforms and clinical.” As such, it states the watch represents another step in efforts to create “new tools for unobtrusive biosensing.”
2. Apple (NASDAQ:AAPL)
Market cap: $897.79 billion; current share price $174.80
Apple launched the Apple Watch Series 1 in 2015, and quickly became the world’s best selling wearable that year, which hit 4.2 million sold in the second quarter of 2015. Since then, the tech monster has released Series 2 in its Apple Watch line, and has announced its plans to launch a new Apple Watch in the second half of 2017.
As highlighted in a IDC fourth quarter 2016 report, Apple marked the “best quarter ever” in the wearable technology market. As such, it should come as no surprise that 2017 has also been kind to the company. According to CNBC, Apple become the largest wearable vendor in the first quarter with 22 million units shipped, compared to 18.2 million during the same time period in 2016.
3. Dexcom (NASDAQ:DXCM)
Market cap: $4.39 billion; current share price: $50.47
While Dexcom is a medical device company, it is focused on designing and commercializing continuous glucose monitoring (CGM) systems for those with diabetes and for healthcare providers. Of note, Dexcom is commercializing its fifth generation CGM system, called the Dexcom G5 Mobile CGM system. By using Bluetooth technology that is built into the transmitter, it gives the opportunity for remote viewing of glucose levels, trends and data from a compatible mobile device.
4. Garmin (NASDAQ:GRMN)
Market cap: $9.76 billion; current share price: $51.91
Garmin is another big-name player in wearable technology stocks. the company offers global positioning system (GPS) navigation, as well as wireless devices and applications. More specifically, Garmin operates through five segments, which range from Outdoor Handhelds, Wearable Devices, Golf Devices, and Dog Tracking and Training/Pet Obedience Devices. In terms of its wearable devices, Garmin offers devices that target fitness and activity training.
5. Microsoft (NASDAQ:MSFT)
Current share price: $526.53 billion; current share price: $69.78
Microsoft is back in the wearable technology market, which includes the collaboration with companies like Oleo and GoPro. As stated on the company’s website, Microsoft has over 700 wearable-related products, making Microsoft a leader in wearable technology.
In particular, Microsoft’s wearable technology includes the Microsoft Band, which tracks heart rate, exercise, calorie burn and sleep quality. Email, text, and calendar alerts are also key features of the Microsoft Band.
7. Sony (NYSE:SNE)
Market cap: $46.25 billion; current share price: $37.05
While Sony is largely known for dominating the electronic equipment business, it also has a strong lineup of wearable technology devices, including a wearable fitness music player with a fitness tracker, a tennis sensor for tennis rackets, and a tennis sensor attachment for the head.
In June 2017, it was announced that Sony had released a wearable sports walkman, which has officially been launched in India.
This is an update to an article originally published on the Investing News Network in 2015. Stay tuned! The Investing News Network will be looking at smaller cap wearable technologies next!
Securities Disclosure: I, Jocelyn Aspa, hold no direct investment interest in any company mentioned in this article.