Tech giants are currently working on Artificial Intelligence, which continues to overgrow. AI will gain momentum in many sectors with its development. Companies such as Microsoft, Google, Meta, IBM, NVIDIA, and others are integrating AI into their workspaces, making them compatible with AI software and more.
This revolution is attracting the attention of investors. If you want to expand your portfolio, according to Fortune Business Insights, AI is expected to reach $737.7 billion by 2027. As a result, we will share a guide on which AI stocks to buy in 2023 in this article.
What are AI Stocks?
As AI technology develops, companies involved in its growth stand to benefit significantly. These companies span various services and applications, including healthcare, finance, manufacturing, and transportation.
Although the leading AI technology company OpenAI is not yet public and does not have a trade symbol, alternative companies have invested in OpenAI or its subsidiaries. You can invest in these companies to obtain AI stocks this year. By 2025, the AI market is projected to reach $394.6 billion and be widely adopted by businesses and governments.
Alphabet Inc. (GOOG)
Alphabet Inc. is the parent company of Google, the search engine giant. While they have announced any primary AI tools for consumers like Bard, Workspace Duet, they have used AI in their products and services for years. However, they have yet to share any Generative-Artificial-Intelligence model like ChatGPT.
Recently, the company announced that it would launch advanced AGL-based modeling tools and services. They have merged their AI division into Google’s DeepMind ahead of this launch. In addition, they have a massive dataset and personal user data to train their AI models. Google has also worked on Waymo and shown interest in AI healthcare applications. Google is a worthwhile company to invest in in 2023.
Nvidia Corporation (NVDA)
NVIDIA is a leading Original Equipment Manufacturer (OEM) that develops advanced graphics processing units (GPUs) for gaming and AI applications. As AI becomes increasingly sophisticated, it requires efficient GPUs that handle complex computations. NVIDIA’s GPUs are a popular choice for many AI companies, and its stock has recently seen rapid growth, almost making it a trillion-dollar company.
NVIDIA’S STOCK HAS BEEN PERFORMING WELL, WITH A 192% increase over the past year and a stock price increase of over 500% in the past five years. NVIDIA’s GPUs are highly compatible with most games and are recommended in the professional markets. Now, they are also making headway in machine learning and autonomous driving.
Microsoft Corporation (MSFT)
Microsoft is a significant player in Artificial Intelligence, integrating OpenAI’s most advanced AI models into its products and services. In addition, the company offers an advanced in-house server that can handle complex computations on its Azure server. It is worth noting that OpenAI uses Microsoft’s Azure server exclusively. Microsoft’s stocks also perform well, with a market capitalization of $2.5 trillion.
Furthermore, Microsoft has announced plans to bring Co-Pilot to Windows. Additionally, the company offers several AI services, such as Azure Machine Learning, AI Builder, and Azure Cognitive Services. These services add AI capabilities to their servers by leveraging pre-built APIs. Microsoft will continue to be a leader in AI.
IBM (IBM)
IBM has been a constant player in AI for decades and is committed to making an impact. IBM is a pioneer in AI and has a strong track record of innovating and providing benefits. IBM’s Watson AI brings AI into several sectors, including healthcare, finance, and weather forecasting. The company has faced challenges in recent years but focused on innovating.
Baidu Inc. (BIDU)
Baidu is one of the most popular search engines in the East, often called the Google of China. Baidu is driving AI into their products and services, and they have also experimented with autonomous driving. As one of the most significant search engines in China and a leader in AI research, Baidu is at the forefront of innovation in the industry.
Amazon.com Inc. (AMZN)
Amazon is another major player that has yet to share any consumer-facing AI models, but its AI products and services include Amazon Web Services (AWS). The company has a market capitalization of $1.3 trillion and provides cloud-based AI servers like Amazon SageMaker. Not only this, but Amazon is also a market leader in e-commerce and cloud computing and has heavily invested in AI, developing AI-powered products and services.
Note: This is a simple guide to buying AI stocks, not financial advice. Before buying a stock, do your in-depth research. Make sure you know the risks, and it has intended for informational purposes only.
As AI brings the opportunity to revolutionize industries, investing in technology’s future is an excellent idea. You can bet on tech innovations’ great potential and financial benefits. Other AI stocks to buy in 2023 include Adobe (ADBE), Alphabet (GOOGL), Baidu (BIDU), C3 AI (AI), IBM (IBM), Micron Technology (MU), and Microsoft (MSFT).
If you want to buy Indian stocks, you have some companies to invest in. Forbes Advisor India lists TATA Elxsi, Bosch, Persistent Systems, KPIT Technologies, Cyient, and Happiest Minds Technologies.