We recently published a list of 10 AI Stocks That Will Skyrocket. In this article, we are going to take a look at where Amazon.com, Inc. (NASDAQ:AMZN) stands against other AI stocks that will skyrocket.
AI (Artificial Intelligence) isn’t just a buzzword anymore—it’s becoming a part of our everyday lives, from the apps we use to how businesses operate. For investors, that means opportunity. As AI continues to grow, some companies are leading the charge and showing real potential for long-term gains. Whether you’re looking to diversify your portfolio or tap into the future of tech, this article will walk you through some of the best AI stocks worth watching right now. AI stocks saw incredible gains over the last couple of years, particularly in 2024, as AI applications burgeoned. The current weakness in AI stocks, caused by geopolitical tensions, may be a good opportunity to load up on AI stocks.
In an interview with CNBC, the CEO and CIO of Ark Invest, Cathie Wood, underscored her bullishness on the AI sector despite the recent weakness in those stocks. According to Wood, AI has a massive runway. She compared the current AI position to the internet in the early to mid-90s. Wood is optimistic about robotaxis in the near term and the application of humanoid robots in the long term. However, the most under-appreciated application of AI, according to Wood, is healthcare, as AI will accelerate the curing of diseases. Within the medical application of AI, Cathie Wood is particularly bullish on sequencing technology, which is used to read DNA. AI is a great application in sequencing as it helps analyze, interpret, and act on that genetic data much quicker and more accurately than traditional methods.
A segment within AI that is hot right now is Generative AI. Generative AI creates customized answers for the user based on real underlying data. Gen AI has created a massive investment cycle of over $200 billion annually, led by the ‘magnificent 7’. The tech behemoths are competing intensely over leadership in Gen AI. Meanwhile, an upcoming AI theme centers on how large language models (LLMs). According to Morgan Stanley, leading companies behind the most advanced LLMs are prioritizing high-performance chips and top-tier software to deliver AI solutions that are becoming essential for both businesses and consumers. While initial LLM use cases primarily included content creation, summarization, and categorization, industry leaders believe that the greatest yet-to-be-realized opportunity lies in applying AI reasoning to enterprise data.
