Augmented reality smart glass maker Vuzix Corporation (NASDAQ: VUZI) Shares have rebounded from a low of $3.88 but have started to fall again.Since macro issues come from inflation, Coronavirus disease Effect, supply chain The conflict with Russia has indirectly contributed to the income gap. This was primarily due to timing issues with two key customers during the quarter and an anomaly in the first fiscal quarter of 2021. Defense customers are driving higher demand and follow-on orders for display engines and head-mounted waveguides. Many developments on the OEM side were not reflected in the quarter, but should have an impact later this year. Growth is still expected to exceed 2021 levels, driven by strong demand for Internet of Things (IoT) warehousing, logistics and expand steadily health care Including the launch of the next generation of shoulder augmented reality for its clients surgical platform. Speculators looking for a potential double or triple bagger can watch for an opportunistic pullback in Vuzix stock.
Fiscal 2022 First Quarter Earnings Release
On May 10, 2022, Vuzix reported results for the first quarter of fiscal 2022 for the quarter ended March 2022. The company reported an earnings-per-share (EPS) loss (-$0.16), which missed analysts’ consensus estimate ($0.14) (-$0.02). Revenue fell 34.2% year over year to $2.5 million, missing analysts’ consensus estimate of $3.4 million. Paul Travers, CEO of Vuzix, commented: “The first quarter was a challenging time for many of our customers, suppliers and partners due to ongoing COVID disruptions and geopolitical tensions in Europe. These issues are widespread Presence, and their impact on certain timing of expected customer orders, resulted in lower-than-expected sales in the first quarter. Despite the delays in the first quarter, we continue to see underlying momentum from our key smartglasses customers, particularly in warehouse and logistics as well as healthcare. In our business, we see growing demand and follow-on orders for head-mounted waveguides and display engines from new and existing defense customers and consumer electronics OEMs, which will have a strong impact on our A positive impact in the second quarter of this year.”
Conference Call Takeaway
CEO Travers acknowledged that the quarter was challenging due to the macro environment and geopolitical tensions in Europe. These undercurrents resulted in the timing impact of certain customer orders, resulting in a revenue shortfall in the first quarter of fiscal 2022. He believes that the AR industry is still in its infancy. Major customer accounts reflected the growth as the company focused on providing value-added hardware solutions. Vuzix continues to invest in core technologies such as waveguides, display engines, and enhance manufacturing capabilities. In the weakest quarter in history, Q1 revenue fell year-over-year (-36%). The shortfall is due to an anomaly in the first quarter of 2021, a beneficiary of the timing delay of the quarter’s early launch. Without the launch of two key accounts, the first quarter of fiscal 2022 will meet or exceed consensus estimates. There was momentum in the OEM side of the business, which has not been reflected in the quarter. CEO Travers still expects core smart glass revenue to surpass 2021 revenue in 2022, helped by expansion in logistics and warehousing and healthcare.All of its major healthcare ISVs are expanding the availability of Vuzix-powered surgical solutions, including Medacta’s next AR shoulder augmented reality surgical platform in Europe and the US
VUZI opportunistic pullback level
use Rifle Chart Weekly and daily time frames provide a precise view of the VUZI stock landscape. The weekly rifle chart attempts to reverse the downtrend as the weekly 5-period moving average (MA) rises to $5.72 and attempts to cross the 15-period moving average upwards at $5.81.Shares have stabilized near $4.54 Fibonacci (fib) levels. The weekly 200-period moving average was flat at $6.82 and the 50-period moving average was flat at $9.26.weekly Market Structure Low (MSL) Buying triggers a breakout above $5.97. The weekly stochastic is rising through the 50 band. The weekly upper Bollinger Bands (BBs) are at $7.32 and the lower Bollinger Bands are at $4.33. The daily rifle chart uptrend is attempting a potential reversal as the daily 5-period MA falls to $6.41 and the 15-period MA falls to $6.09. The daily 50-period SMA support overlaps with the $5.68 Fib. The daily lower BB price is $4.26. The daily stochastic formed a bearish mini inverse puppy as it retreated to the 80 band.Speculators can follow Opportunistic pullback levels lie at $5.68, $5.03, $4.54, $3.88, $3.39, $2.92, $2.44, and $1.96. The upside trajectory ranges from $7.41 to the $10.49 Fibonacci level.