The world of technology is moving at an astonishing pace, and one of the most exciting developments in recent years has been the emergence of artificial intelligence (AI). This cutting-edge technology has taken the world by storm, with its applications spanning across various industries, including healthcare, finance, manufacturing, and more. Not surprisingly, the AI industry has attracted significant investments, and its global market size is expected to reach a staggering $1,591.03 billion by 2030.
If you're looking to invest in this rapidly-growing industry, you need to be well-informed about the companies that are leading the way. In this article, we've compiled a list of the best AI stocks to buy according to analysts, so that you can make informed decisions about your investments.
According to Insider Monkey's database, 259 hedge funds were bullish on Microsoft Corporation, compared to 269 funds in the prior quarter. The Bill & Melinda Gates Foundation Trust is the largest stakeholder of the company, with 39.2 million shares worth $9.4 billion. Wedbush analyst Daniel Ives has raised the firm's price target on Microsoft Corporation to $290 from $280 and kept an Outperform rating on the shares following more positive recent cloud checks. With all these factors in play, Microsoft is undoubtedly one of the best AI stocks to invest in.
Analysts have projected an upside potential of 17.51% for Micron Technology, with Raymond James analyst Srini Pajjuri assigning the stock an Outperform rating and a price target of $70. Pajjuri's bullish outlook is driven by the memory industry's production and capex cuts, which he believes will lead to a better demand/supply balance throughout the year. Pajjuri also expects the memory industry's ongoing losses to result in improved supply discipline in the next cycle.
According to Insider Monkey's Q4 data, 74 hedge funds held positions in Micron Technology, with Andreas Halvorsen's Viking Global being the largest position holder in the company, with 8.35 million shares worth $417.7 million.
One of the most significant reasons for AMAT's success is its three operating segments - Semiconductor Systems, Applied Global Services, and Display and Adjacent Markets. These segments allow the company to diversify its revenue streams and mitigate the risks associated with fluctuations in the semiconductor industry.
Moreover, the company's recent FQ1 earnings report indicates that it is performing exceptionally well. On February 16, AMAT reported a non-GAAP EPS of $2.03 and revenue of $6.74 billion, exceeding Wall Street estimates by $0.11 and $80 million, respectively. This is an excellent indicator of the company's strong fundamentals.
Additionally, KGI Securities analyst Derek Chang recently upgraded AMAT to Outperform from Neutral, with a $145 price target. This is a sign that the company is well-positioned for growth in the future.
ACN's strength lies in its ability to provide data management, data democratization, and industrialized solutions such as turnkey analytics and artificial intelligence solutions. This puts the company in an excellent position to capitalize on the growing demand for data-driven services.
However, despite the company's strengths, there are some concerns about its future growth potential. Jeff Cantwell, an analyst at Wells Fargo, recently started coverage of Accenture with an Equal Weight rating and a price target of $289. While he has a favorable opinion of the company's platform and services, Cantwell believes that clients are becoming more cautious about technology spending and are waiting for stronger demand before making further investments. This could affect Accenture's revenue growth in the coming years.
Nonetheless, according to Insider Monkey's Q4 data, 63 hedge funds were bullish on Accenture, compared to 58 funds in the last quarter. This is a positive sign that the company is still attractive to investors.
The company has been performing exceptionally well, according to RBC Capital analyst Matthew Hedberg, who raised the firm's price target on the company's shares to $510 from $500, while retaining an Outperform rating on January 26. Despite a challenging software market, ServiceNow, Inc. (NYSE:NOW) has shown resilience, thanks to its unified platform that consolidates customer spending, making it a top pick for the firm in 2023.
Insider Monkey’s fourth quarter database shows that 97 hedge funds were long ServiceNow, Inc. (NYSE:NOW), making it one of the best AI stocks to invest in according to analysts. Christopher Lyle’s SCGE Management is the largest position holder in the company, indicating a high level of confidence in the company's future growth.
UBS has reaffirmed its Buy rating on Meta Platforms, Inc. (NASDAQ:META), stating that it offers both an estimate revision and multiple expansion opportunity. They believe recent data points have increased confidence in Meta's bull case, which they estimate at $331 per share.
According to Insider Monkey's data, 194 hedge funds were bullish on Meta Platforms, Inc. (NASDAQ:META) at the end of December 2022, compared to 177 funds in the prior quarter. Boykin Curry's Eagle Capital Management is a significant position holder in the company.
Despite the current market volatility, SentinelOne's outlook remains optimistic. According to Insider Monkey's data, 38 hedge funds were bullish on SentinelOne (S) at the end of December 2022. This is a significant decrease from the 103 funds that held the stock in the prior quarter. However, the company's biggest position holder, Dan Loeb's Third Point, remains invested, holding 14.70 million shares worth $214.4 million.
On March 6, Barclays analyst Saket Kalia maintained an Equal Weight rating on SentinelOne (S) and lowered the firm's price target on the shares to $17 from $18 ahead of the company's results on March 14. However, the average upside potential based on analyst ratings for SentinelOne (S) stands at an impressive 25.31%.
According to Insider Monkey's Q4 data, Alteryx (AYX) was part of 45 hedge fund portfolios, compared to 40 funds in the earlier quarter. Brian Bares' Bares Capital Management is the largest stakeholder in the company, with 2.5 million shares worth $127.8 million.
On February 10, Needham analyst Mike Cikos increased the price target on Alteryx (AYX) from $62 to $78 and maintained a Buy rating on the shares. This was in response to the company's Q4 earnings beat, which was impressive due to its robust execution and guidance surpassing expectations, despite the challenging macroeconomic conditions.
The average upside potential based on analyst ratings for Alteryx (AYX) stands at an impressive 29.66%. This makes it one of the best AI stocks to invest in.
Are you tired of feeling like you're always one step behind when it comes to trading? Take control of your investments with Forex Bee - the advanced algorithmic trading system that uses AI to make profitable trades. Buying Forex Bee is simple and straightforward. Click this link (http://bit.ly/3lzenyR) and start making smarter trading decisions today. Invest in your financial future with Forex Bee.
If you're looking to invest in this rapidly-growing industry, you need to be well-informed about the companies that are leading the way. In this article, we've compiled a list of the best AI stocks to buy according to analysts, so that you can make informed decisions about your investments.
Best Artificial Intelligence (AI) Stocks To Buy According to Analysts
10. Microsoft Corporation (NASDAQ: MSFT)
Microsoft Corporation is a tech giant that needs no introduction. Recently, they introduced a preview version of their latest Bing and Edge apps for iPhone and Android devices that include new features like voice search and access to their AI chatbot. In addition, they announced Bing for Skype, powered by AI, making Microsoft one of the best AI stocks to consider. Microsoft also plans to incorporate ChatGPT technology into its developer software suite, Power Platform, as part of its ongoing effort to increase its use. The company will be adding the technology to Power Virtual Agent and AI Builder, but these features will only be accessible in the United States.
According to Insider Monkey's database, 259 hedge funds were bullish on Microsoft Corporation, compared to 269 funds in the prior quarter. The Bill & Melinda Gates Foundation Trust is the largest stakeholder of the company, with 39.2 million shares worth $9.4 billion. Wedbush analyst Daniel Ives has raised the firm's price target on Microsoft Corporation to $290 from $280 and kept an Outperform rating on the shares following more positive recent cloud checks. With all these factors in play, Microsoft is undoubtedly one of the best AI stocks to invest in.
9. Micron Technology, Inc. (NASDAQ:MU)
Founded in 1978, Micron Technology has been an industry leader in developing and manufacturing memory and storage products worldwide. Its technology is responsible for fueling the development of next-generation, faster, and more intelligent global infrastructures that enable mainstream artificial intelligence. With its high-capacity memory, fast storage, and multi-chip packages, Micron Technology provides power to AI training and inference engines, whether they are embedded in mobile and edge devices or in the cloud.
Analysts have projected an upside potential of 17.51% for Micron Technology, with Raymond James analyst Srini Pajjuri assigning the stock an Outperform rating and a price target of $70. Pajjuri's bullish outlook is driven by the memory industry's production and capex cuts, which he believes will lead to a better demand/supply balance throughout the year. Pajjuri also expects the memory industry's ongoing losses to result in improved supply discipline in the next cycle.
According to Insider Monkey's Q4 data, 74 hedge funds held positions in Micron Technology, with Andreas Halvorsen's Viking Global being the largest position holder in the company, with 8.35 million shares worth $417.7 million.
8. Applied Materials, Inc. (NASDAQ:AMAT)
Applied Materials, Inc. (NASDAQ:AMAT) is a California-based company that specializes in the provision of manufacturing equipment, services, and software to the semiconductor, display, and related industries. With over 70 hedge fund holders and a whopping 18.34% average upside potential based on analyst ratings, it is easy to see why this company is a top pick for many investors.
One of the most significant reasons for AMAT's success is its three operating segments - Semiconductor Systems, Applied Global Services, and Display and Adjacent Markets. These segments allow the company to diversify its revenue streams and mitigate the risks associated with fluctuations in the semiconductor industry.
Moreover, the company's recent FQ1 earnings report indicates that it is performing exceptionally well. On February 16, AMAT reported a non-GAAP EPS of $2.03 and revenue of $6.74 billion, exceeding Wall Street estimates by $0.11 and $80 million, respectively. This is an excellent indicator of the company's strong fundamentals.
Additionally, KGI Securities analyst Derek Chang recently upgraded AMAT to Outperform from Neutral, with a $145 price target. This is a sign that the company is well-positioned for growth in the future.
7. Accenture plc (NYSE:ACN)
Accenture plc (NYSE:ACN) is a global professional services company that offers a wide range of services to clients worldwide. The company's areas of expertise include strategy, consulting, technology, and operational services, making it an attractive investment option for those who want to diversify their portfolios.
ACN's strength lies in its ability to provide data management, data democratization, and industrialized solutions such as turnkey analytics and artificial intelligence solutions. This puts the company in an excellent position to capitalize on the growing demand for data-driven services.
However, despite the company's strengths, there are some concerns about its future growth potential. Jeff Cantwell, an analyst at Wells Fargo, recently started coverage of Accenture with an Equal Weight rating and a price target of $289. While he has a favorable opinion of the company's platform and services, Cantwell believes that clients are becoming more cautious about technology spending and are waiting for stronger demand before making further investments. This could affect Accenture's revenue growth in the coming years.
Nonetheless, according to Insider Monkey's Q4 data, 63 hedge funds were bullish on Accenture, compared to 58 funds in the last quarter. This is a positive sign that the company is still attractive to investors.
6. ServiceNow, Inc. (NYSE:NOW)
ServiceNow, Inc. (NYSE:NOW) is a California-based enterprise cloud computing company that operates the Now platform for workflow automation, artificial intelligence, machine learning, robotic process automation, process mining, performance analytics, data benchmarking, encryption, and collaboration.
The company has been performing exceptionally well, according to RBC Capital analyst Matthew Hedberg, who raised the firm's price target on the company's shares to $510 from $500, while retaining an Outperform rating on January 26. Despite a challenging software market, ServiceNow, Inc. (NYSE:NOW) has shown resilience, thanks to its unified platform that consolidates customer spending, making it a top pick for the firm in 2023.
Insider Monkey’s fourth quarter database shows that 97 hedge funds were long ServiceNow, Inc. (NYSE:NOW), making it one of the best AI stocks to invest in according to analysts. Christopher Lyle’s SCGE Management is the largest position holder in the company, indicating a high level of confidence in the company's future growth.
5. Meta Platforms, Inc. (NASDAQ:META)
Meta Platforms, Inc. (NASDAQ:META) is a company that has been causing quite a stir in the world of artificial intelligence. Their research laboratory, Meta AI, is solely focused on enhancing augmented and artificial reality technologies through the creation of different types of AI. Unlike Facebook's Applied Machine Learning (AML) team, which focuses on practical applications of its products, Meta AI is an academic research lab that aims to generate knowledge for the wider AI community.
UBS has reaffirmed its Buy rating on Meta Platforms, Inc. (NASDAQ:META), stating that it offers both an estimate revision and multiple expansion opportunity. They believe recent data points have increased confidence in Meta's bull case, which they estimate at $331 per share.
According to Insider Monkey's data, 194 hedge funds were bullish on Meta Platforms, Inc. (NASDAQ:META) at the end of December 2022, compared to 177 funds in the prior quarter. Boykin Curry's Eagle Capital Management is a significant position holder in the company.
4. SentinelOne, Inc. (NYSE:S)
Based in Mountain View, California, SentinelOne (S) is a cybersecurity provider that offers an advanced platform powered by AI. Their Singularity XDR Platform is equipped with autonomous capabilities that provide businesses with threat prevention, detection, and response across endpoints and cloud workloads. The company was founded in 2013 and has since established itself as a leading player in the cybersecurity space.
Despite the current market volatility, SentinelOne's outlook remains optimistic. According to Insider Monkey's data, 38 hedge funds were bullish on SentinelOne (S) at the end of December 2022. This is a significant decrease from the 103 funds that held the stock in the prior quarter. However, the company's biggest position holder, Dan Loeb's Third Point, remains invested, holding 14.70 million shares worth $214.4 million.
On March 6, Barclays analyst Saket Kalia maintained an Equal Weight rating on SentinelOne (S) and lowered the firm's price target on the shares to $17 from $18 ahead of the company's results on March 14. However, the average upside potential based on analyst ratings for SentinelOne (S) stands at an impressive 25.31%.
3. Alteryx, Inc. (NYSE:AYX)
Alteryx (AYX) is an analytics process automation business that offers its services globally. Headquartered in Irvine, California, the company was founded in 1997 and has established itself as a leading player in the AI space. Their Alteryx Analytics Automation Platform provides complete automation of analytics, machine learning, artificial intelligence, and data science procedures, which expedite the process of digital transformation.
According to Insider Monkey's Q4 data, Alteryx (AYX) was part of 45 hedge fund portfolios, compared to 40 funds in the earlier quarter. Brian Bares' Bares Capital Management is the largest stakeholder in the company, with 2.5 million shares worth $127.8 million.
On February 10, Needham analyst Mike Cikos increased the price target on Alteryx (AYX) from $62 to $78 and maintained a Buy rating on the shares. This was in response to the company's Q4 earnings beat, which was impressive due to its robust execution and guidance surpassing expectations, despite the challenging macroeconomic conditions.
The average upside potential based on analyst ratings for Alteryx (AYX) stands at an impressive 29.66%. This makes it one of the best AI stocks to invest in.
2. Alphabet Inc. (NASDAQ:GOOG)
Alphabet Inc. (NASDAQ:GOOG) has been working on the development of AI for over 20 years. The company announced an AI-equipped service called Bard in February 2023 to compete with Baidu's Ernie Bot. Alphabet Inc. (NASDAQ:GOOG) has an advantage in the field of large language AI models due to the quality of its data, which is derived from its widespread usage of Search, Chrome, and Android.
According to Jefferies analyst Brent Thill, Alphabet Inc. (NASDAQ:GOOG) does not anticipate any significant financial impact from AI for either Alphabet or Microsoft in the near future. The firm has reasserted its Buy rating and a $130 price target on Alphabet Inc. (NASDAQ:GOOG)’s shares. Thill maintains a positive view on Alphabet Inc. (NASDAQ:GOOG)’s AI capabilities, stating that both Alphabet and Microsoft already have significant investments in AI to support experimentation.
Insider Monkey's database reports that 152 hedge funds were long Alphabet Inc. (NASDAQ:GOOG), with Chris Hohn’s TCI Fund Management being the biggest stakeholder of the company, with 54.5 million shares worth $4.8 billion.
While COVID-related disruptions have impacted Baidu's advertising business, the company has managed to remain a leader in the search market, feeds market, and video asset ownership in China. Additionally, Baidu's market leadership in AI applications makes it an attractive investment opportunity for those looking to invest in the long term.
According to Insider Monkey, 40 hedge funds were bullish on Baidu in the fourth quarter of 2022. With John W. Rogers' Ariel Investments as the largest stakeholder of the company, there is clear confidence in Baidu's potential for growth.
In February 2023, iRobot launched a restructuring program aimed at streamlining its operations and achieving net annualized savings of around $14 million. This involves reducing the company's workforce by about 7%, which could help position iRobot for greater growth in the long run.
Insider Monkey's database reports that 152 hedge funds were long Alphabet Inc. (NASDAQ:GOOG), with Chris Hohn’s TCI Fund Management being the biggest stakeholder of the company, with 54.5 million shares worth $4.8 billion.
1. Baidu, Inc. (NASDAQ:BIDU)
If you're looking for a solid investment opportunity in the tech industry, you might want to take a closer look at Baidu, Inc. (NASDAQ:BIDU). As one of China's top search engines, Baidu has been working on a language model known as Ernie Bot, which is poised to be a game-changer in the AI landscape. This bot is built upon Baidu's comprehensive language model, Ernie, and is expected to revolutionize the way we interact with machines.
While COVID-related disruptions have impacted Baidu's advertising business, the company has managed to remain a leader in the search market, feeds market, and video asset ownership in China. Additionally, Baidu's market leadership in AI applications makes it an attractive investment opportunity for those looking to invest in the long term.
According to Insider Monkey, 40 hedge funds were bullish on Baidu in the fourth quarter of 2022. With John W. Rogers' Ariel Investments as the largest stakeholder of the company, there is clear confidence in Baidu's potential for growth.
iRobot Corporation (NASDAQ:IRBT) (Bonus Stock)
Another tech company worth watching in 2023 is iRobot Corporation (NASDAQ:IRBT), which specializes in building and selling robots and home innovation products. As one of the best AI stocks to invest in, iRobot has been making waves with its vacuum cleaners powered by artificial intelligence.
In February 2023, iRobot launched a restructuring program aimed at streamlining its operations and achieving net annualized savings of around $14 million. This involves reducing the company's workforce by about 7%, which could help position iRobot for greater growth in the long run.
According to Insider Monkey, 22 hedge funds were bullish on iRobot in the fourth quarter of 2022. Robert Emil Zoellner's Alpine Associates holds the largest stake in the company, indicating confidence in iRobot's future success.
BUYING FOREX BEE
 Stocks To Buy In 2023){kind=link}
0 Comments