Some financial traders might be tempted to jump into the trade with Meta Materials (NASDAQ:MMAT) stock because it’s cheap now. Yet, the shares could get cheaper, so be patient. There are news items that could distract some investors, plus economic conditions are challenging as we head into 2023. So, establish a buy price and stick to your plan, as the functional-materials industry (and therefore, Meta Materials) could grow substantially in the coming years.

Meta Materials is actually a Canadian company, but plenty of U.S.-based traders are aware of it. It’s one of a very small number of Nasdaq-listed businesses that specializes in developing functional materials.

This could certainly be a high-conviction niche market to invest in. However, you’ll want to time your entry carefully and be aware of the recent developments surrounding Meta Materials. So, let’s first delve into a couple of notable news stories that prospective shareholders should be aware of.

What’s Happening With MMAT Stock?

During the euphoria of 2021, MMAT stock surged to $7.50, but it wasn’t destined to stay there. Recently, the Meta Materials share price fell below $1.50 and was down substantially year-to-date in 2022.

Certainly, high inflation and a potential recession are weighing on investor sentiment. So-called growth stocks have come under tremendous pressure this year.

That bearish trend could persist for a while, so you don’t have to buy MMAT stock immediately. $1 is a psychologically significant support level, so consider setting a limit-buy order at that price.

Also, be aware of some news items pertaining to Meta Materials. First, the company just distributed shares of subsidiary business Next Bridge Hydrocarbons (no separate stock ticker has been announced on those yet) to holders of Meta Materials Preferred Shares (OTCMKTS:MMTLP).

Avoid Distractions and Focus on the Functional-Materials Market

So, the distribution of Next Bridge Hydrocarbons shares is in the news, but this doesn’t have to distract you from the value proposition of Meta Materials. There’s also another news item that you should know about, but again, it doesn’t need to be your primary focus.

Specifically, Torchlight Energy, the now-defunct company Meta Materials merged with, was allegedly one of several targets in a massive pump-and-dump scheme. This plot apparently involved some shady trading and promotion practices.

Torchlight Energy shares don’t even exist now, so MMAT stock traders shouldn’t obsess over the alleged pump-and-dump scheme. Instead, it’s time to look to the future — and the future could be amazing for Meta Materials.

A report from research firm IDTechEx predicts that the meta-materials market will reach an astounding $8.7 billion by 2043. A primary driver of this growth will be the radio-frequency meta-materials industry, which is expected to expand at a compound annual growth rate (CAGR) of 32.9%. This is undoubtedly bullish for Meta Materials, which already has hundreds of patents in the meta/functional-materials niche.

Be Patient and Wait for MMAT Stock to Hit $1

There are distractions and economic headwinds that could easily push MMAT stock to $1. Therefore, it’s wise to hold off on any share purchases for now. Patience and sticking to your strategy should pay off in the long run.

As the meta/functional-materials market grows, so should Meta Materials. Eventually, the $1 share price could be a distant memory. Hence, cautious investors can adopt a wait-and-watch policy and pounce when the time is right.

On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

David Moadel has provided compelling content – and crossed the occasional line – on behalf of Motley Fool, Crush the Street, Market Realist, TalkMarkets, TipRanks, Benzinga, and (of course) InvestorPlace.com. He also serves as the chief analyst and market researcher for Portfolio Wealth Global and hosts the popular financial YouTube channel Looking at the Markets.