Meta Platforms and Ray-Ban maker EssilorLuxottica announced Tuesday that they've extended their partnership with plans to "collaborate into the next decade to develop multi-generational smart eyewear products." Meta stock opened slightly higher.
The Facebook parent company has been working with the Paris-based EssilorLuxottica since 2019. The latest version of Meta's Ray-Ban-branded smart glasses offer an HD camera, calling capabilities and some voice-enabled AI assistant features. The product has gotten largely positive reviews and stands out as a hit within Meta's broader metaverse business.
"I'm proud of the work we've done with EssilorLuxottica so far, and I'm excited about our long term roadmap ahead," Meta Chief Executive Mark Zuckerberg said in a news release. "We have the opportunity to turn glasses into the next major technology platform, and make it fashionable in the process."
On the stock market today, Meta stock gained a half-percent to close at 536.32. Shares have nearly retaken a 542.81 consolidation pattern buy point from last month, according to MarketSurge charts.
Meta's Smart-Glasses Push
The expanded partnership follows reports earlier this summer that Meta is considering investing up to $5 billion in EssilorLuxottica, which trades on the Euronext Paris stock exchange. Tuesday's announcement made no reference to Meta potentially buying a stake in the eyewear maker. The companies also did not disclose the financial details of the expanded partnership.
Meanwhile, Meta released the second-generation version of the glasses last September, which sell for $299 to $379. On a call with analysts in late July, Zuckerberg said the glasses were performing better than the company expected.
"Demand is still outpacing our ability to build them, but I'm hopeful that we'll be able to meet that demand soon," Zuckerberg said.
Meta revealed the latest generation of the glasses at its 2023 Meta Connect developer conference. This year's Connect event kicks off Sept. 25.
Meta Stock: Breaking A Downward Trend
With Tuesday's early gains and a 1.7% boost on Monday, Meta stock is breaking a recent downward trend. Shares retook the 21-day line late last week.
Meta stock has gained 51% this year vs. a 18.7% gain for the S&P 500.
Meanwhile, the IBD Stock Checkup tool shows Meta stock holds an IBD Composite Rating of 93 out of a best-possible 99. The score means Meta stock is currently in the top 6% of stocks in terms of key performance metrics and technical strength.
