AI Wiki Markets News Report
September 05, 2023

Top 10 AI Company Stocks to Buy Under $50 in 2023

Businesses are being transformed by artificial intelligence, which is also fueling exponential growth across all industries. Investors are looking for chances to make investments in promising AI startups that are still in the early stages of development as AI adoption continues to grow across the globe.

Top 10 AI Company Stocks to Buy Under $50 in 2023
Credit: Metaverse Post / Designer: Anton Tarasov

This comprehensive article analyzes the top 10 publicly traded artificial intelligence stocks trading under $50 per share that are worth watching closely in 2023. For each company profiled, we provide an in-depth overview of their business, technology, financials, growth drivers and potential risks.

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Overview of Massive AI Industry Growth

The global artificial intelligence (AI) market is forecast to expand rapidly from $93.5 billion in 2021 to $1.4 trillion by 2028, achieving a stellar compound annual growth rate (CAGR) of 38.1% during this period, according to research firm ResearchAndMarkets.

10 AI stock companies to buy in 2023
10 AI stock companies to buy in 2023

AI refers to computer systems or software that can mimic human intelligence for visual perception, speech recognition, decision-making, language translation, augmented reality and a wide range of other cognitive functions. Organizations are increasingly adopting AI to drive automation, enhance predictive insights, improve customer engagement and deliver competitive advantages across nearly every industry.

Management consulting firm McKinsey estimates that 70% of companies across all sectors have adopted at least one type of AI technology. The most popular AI applications today include computer vision, natural language processing/understanding, robotic process automation, virtual agents, forecasting models and AI optimized hardware.

Key drivers spurring greater investment and adoption of AI solutions include:

  • Cost savings from automating tasks and processes
  • Extracting value from big data through predictive analytics
  • Personalization of customer experiences
  • More accurate insights for enhanced decision making
  • Higher revenues and profits through optimized operations
  • Competitive advantages from increased innovation

As artificial intelligence continues to provide tangible returns on investment (ROI) and make tangible contributions to companies’ bottom lines, global spending on AI systems is surging. In 2021, a record $83.4 billion was invested in AI startups worldwide, a 120% increase over 2020, according to market intelligence firm CB Insights.

The top five industries leading adoption of AI in 2023 are forecast to be banking, manufacturing, healthcare, retail and government/defense sectors. But AI applications are expanding across virtually every market as the technology proves its ability to solve real-world problems and create new efficiencies.

For investors, the rapid evolution of artificial intelligence presents a compelling long-term growth opportunity. The companies profiled below represent some of the most innovative and promising pure-play AI stocks that are still trading under $50 per share as of January 2023.

Related: The 20 Richest AI Billionaires in the World

1. C3.ai (AI) – Enterprise AI Software Leader

C3.ai (NYSE: AI) operates an industry leading enterprise AI software platform for accelerating application development, digital transformation, and business insights across organizations. The company was founded in 2009 by former Oracle executive Tom Siebel and has established itself as a dominant player in enterprise-scale AI solutions.

Business Overview

C3.ai markets an integrated AI software suite called the C3 AI Suite which features configurable application development capabilities, machine learning models, and out-of-the-box AI applications tailored for specific industries and use cases. The flexible platform enables customers to rapidly build enterprise AI applications without needing data scientists or coding expertise.

The company also provides over two dozen turnkey AI software solutions optimized for customer relationship management (CRM), energy management, anti-money laundering, supply network optimization, predictive maintenance, and fraud detection applications. C3.ai’s industry-specific AI models and apps are pre-trained using large datasets relevant for each sector.

Top customers deploying C3.ai’s enterprise AI apps include 3M, Shell, the United States Air Force, the Federal Aviation Administration (FAA), Koch Industries, and biopharma giant AstraZeneca. The company has established strategic partnerships with all major cloud platforms including Microsoft Azure, Google Cloud, and Amazon Web Services (AWS) to expand distribution and deployment options for its AI software.

Growth Outlook

C3.ai, has been under the scrutiny of financial analysts for its growth outlook in the coming months and years. Over the past three months, a panel of ten analysts has provided insights into the company’s potential. The average 12-month price target for C3.ai stands at $29.88, suggesting a downside of approximately 4.29% from its current price of $31.22.

1. C3.ai (AI) - Enterprise AI Software Leader
Source: Tipranks

This mixed sentiment among analysts is further reflected in the recommendations. Among the ten analysts, there are 2 Buy, 5 Hold, and 3 Sell ratings. While some analysts see potential in the stock, others remain cautious, indicating a diverse range of opinions on C3.ai’s future prospects.

The high forecast of $50.00 and the low forecast of $14.00 indicate a significant range of possible outcomes, highlighting the uncertainty surrounding the stock’s performance. Investors interested in C3.ai should carefully consider this variance in price targets and conduct thorough research before making investment decisions.

2. Palantir Technologies (PLTR) – Data Analytics Powerhouse

Palantir Technologies (NYSE: PLTR) specializes in big data analytics software used by government agencies, defense organizations and blue-chip corporations to integrate and glean insights from vast disparate data sources.Founded in 2003, Palantir has invested heavily in artificial intelligence and machine learning capabilities to enhance its core data analytics platforms. The company has earned strong brand recognition in the data mining industry.

Business Overview

Palantir sells two main software platforms – Gotham and Foundry. Gotham is tailored for government customers, providing tools for managing sensitive intelligence data to support defense, law enforcement, and security missions. 

Foundry is commercially focused, enabling corporate customers to securely centralize and analyze operational data across siloed systems to optimize business decisions. Customers include BP, Airbus, Fiat Chrysler, Merck KGaA, and food giant Danone.

In addition to its commercial sales, Palantir has cultivated deep relationships with government agencies including the U.S. Army, CDC, IRS, FBI, Department of Homeland Security, and healthcare agencies through Gotham. Government revenue accounted for 54% of total Q2 2022 sales.

Growth Outlook

PLTR’s financials have displayed an upward trajectory. Despite its negative price-to-earnings (P/E) ratio, which may raise concerns for some investors, the company has shown robust revenue growth over the past few years. The company’s revenue has steadily increased from $2 billion in 2018 to $2.8 billion in 2022. This demonstrates its ability to generate substantial income, even if profitability has not yet fully materialized.

2. Palantir Technologies (PLTR) – Data Analytics Powerhouse
Source: Tipranks

Moreover, PLTR’s expanding customer base is a positive indicator of its growth potential. The company primarily serves public institutions, private enterprises, and the non-profit sector with its big data analytics software. Its diversified client portfolio reduces dependency on any single sector and positions it for sustained growth.

Another factor contributing to PLTR’s growth outlook is its strategic partnerships. The company has forged collaborations with various government agencies and private enterprises, further expanding its reach and influence in the data analytics market. These partnerships enhance its credibility and provide opportunities for long-term growth.

The Smart Score of 7 based on multiple data sets, including analyst recommendations, crowd wisdom, and hedge fund activity, indicates a cautiously optimistic sentiment among market experts. While the average price target of $13.32 suggests a potential downside, it’s important to note that stocks with high growth potential often come with a degree of risk, and short-term fluctuations may not fully capture their long-term prospects.

Related: 8 Best Telegram Channels About AI/ML, Data Science & ChatGPT

3. Tencent Holdings (TCEHY) – Chinese Tech Conglomerate

Tencent Holdings (OTC: TCEHY) is a Chinese technology conglomerate and one of the largest AI companies globally. Its popular WeChat messaging app has over 1.2 billion monthly active users.

The company operates China’s ubiquitous WeChat messaging and social media app which counts over 1.2 billion monthly active users. Tencent has invested aggressively in AI technologies, leveraging its digital content, gaming, financial services, cloud computing and advertising units.

Business Overview

According to market reports, Tencent has spent upwards of $700 million acquiring and investing in AI startups. The company houses an in-house AI lab focused on computer vision, natural language processing, machine learning, biometrics, logistics and other key focus areas.

The tech giant applies AI capabilities to offer personalized recommendations, predictive analytics, augmented reality, targeted advertising, facial/speech recognition and other applications across its products to improve user experiences and drive business efficiencies.

Tencent’s fintech and cloud computing segments present strong growth runways as online services gain greater adoption in China’s mass consumer and business markets. The company holds commanding market share in online gaming through blockbusters like League of Legends and Honor of Kings.

Growth Outlook

In terms of earnings growth, Tencent has demonstrated a strong performance this year, with an impressive growth rate of approximately 23.49%. This indicates that the company has been able to capitalize on its existing businesses and adapt to changing market conditions effectively.

3. Tencent Holdings (TCEHY) – Chinese Tech Conglomerate
Source: Tipranks

Looking ahead, the projected earnings growth for the next five years stands at approximately 3.50%. While this figure may seem comparatively lower than the current year’s growth rate, it’s essential to recognize that Tencent operates in a highly competitive and rapidly evolving industry. Maintaining a steady earnings growth rate over the long term is a positive sign.

Earnings per share (EPS) growth for the next year is expected to be around 30.21%. This suggests that Tencent is actively working on strategies to boost profitability, possibly through cost optimization, new product launches, or expanding into emerging markets.

In terms of revenue growth, Tencent experienced a slight dip of -5.17% in the previous year. However, it’s important to note that this decline may be attributed to various factors, including global economic conditions and regulatory changes. The company’s ability to adapt and innovate in response to such challenges will be crucial for future revenue growth.

4. Intel Corporation (INTC) – Semiconductor Manufacturing Leader

Intel (NASDAQ: INTC) is the world’s largest semiconductor chip manufacturer. The company is investing heavily in AI chips to power data centers, PCs and edge devices. Intel bought Israeli AI chipmaker Habana Labs in 2019 for $2 billion. In 2021, it launched its Neural Network Processors for Inference (NNP-I) family of AI accelerators. Intel’s Mobileye division makes AI chips for autonomous vehicles.

Business Overview

Intel designs and manufactures microprocessors for computer systems and servers, wireless connectivity systems, graphics chips, AI accelerators, and other components powering billions of smart devices globally. The company controls approximately 15% market share in the $500+ billion semiconductor industry.

To bolster its capabilities in artificial intelligence chips, Intel acquired Israeli AI chipmaker Habana Labs in 2019 for $2 billion which now forms its AI Products Group. In 2021, Intel launched its latest Neural Network Processors for Inference (NNP-I) family of AI accelerators optimized for deep learning workloads.

Intel also produces self-driving AI chips through its Mobileye division, which are deployed in millions of vehicles. The company further leverages AI for chip design and advanced manufacturing automation in its factories.

Growth Outlook

The growth outlook for the company in 2023 presents a mixed picture. In the first quarter of 2023, the company reported a significant decline in revenue, with a 36% year-over-year drop, amounting to $11.7 billion. This is a concerning trend, suggesting challenges or external factors affecting the company’s performance during that period.

4. Intel Corporation (INTC) – Semiconductor Manufacturing Leader
Source: Tipranks

However, there is a glimmer of hope on the horizon. The company anticipates a turnaround in its fortunes for the rest of 2023 and 2024, with expectations of mid- to high-single-digit revenue growth. This projection implies that the company is actively working on addressing the issues that led to the Q1 2023 revenue decline and is confident in its ability to recover and grow.

On the earnings front, the first quarter of 2023 paints a challenging picture as well, with earnings per share at a loss of $0.66, down from $1.31 in the same quarter of the previous year (Q1 2022). This decline in earnings per share reflects the overall financial strain the company experienced during that period.

Despite the Q1 2023 earnings setback, the company’s outlook for the rest of 2023 and 2024 is more optimistic. While specific figures are not provided, the expectation is that earnings will improve, potentially signaling a return to profitability or at least a reduction in losses.

Related: How AI Can Drive Profit to Business in 2023

5. Rekor Systems (REKR) – Innovator in Video Recognition AI

Rekor Systems (NASDAQ: REKR) delivers advanced video recognition technologies powered by artificial intelligence and machine learning algorithms. The company’s software solutions analyze road traffic, identify license plates and recognize vehicle make/model and more using only camera feeds.

Business Overview

Rekor sells its AI-driven video recognition platforms to government agencies to support public safety initiatives, traffic management, electronic toll collection, law enforcement, and smart city applications.

The company also serves commercial markets, including transportation, logistics, insurance, and security. Its technology can be deployed across road infrastructure, commercial sites, or connected IoT devices. Customers include the Kansas Turnpike Authority, Oklahoma Turnpike Authority, and municipalities across Ohio, Oklahoma and Texas.

Rekor is evolving to a software-as-a-service business model that produces higher-margin recurring revenue. In 2021, the company grew total revenue 137% to $14.3 million and anticipates 100%+ growth again in 2022. Its high-growth trajectory highlights the expanding market demand for visual AI software.

Growth Outlook

In Q2 2023, Rekor reported impressive revenue figures, exceeding $8.0 million. What’s particularly noteworthy is the remarkable year-over-year growth of 110%. Such substantial revenue growth signifies that Rekor is expanding its market presence and effectively capitalizing on emerging opportunities within its target industries.

Looking beyond its revenue figures, Rekor’s market capitalization as of August 30, 2023, stands at an impressive $266.84 million. This metric reflects the company’s overall valuation in the financial market and indicates investor confidence in its potential for continued growth and success.

5. Rekor Systems (REKR) – Innovator in Video Recognition AI
Source: Tipranks

Moreover, Rekor has set a price target of $3.88 as of the same date, signaling its strategic vision for its stock’s performance. This price target represents the company’s expectations for its stock’s future valuation and can serve as a benchmark for investors assessing its investment potential.

Lastly, Rekor’s assertion of experiencing a substantial increase of more than 30% in its software-as-a-service (SaaS) revenue further underscores its ability to diversify revenue streams and adapt to evolving market demands, particularly in the technology and software sectors. This growth in SaaS revenue underscores Rekor’s commitment to innovation and its capacity to deliver valuable solutions to its customers in the digital age.

6. Lantern Pharma (LTRN) – AI and Genomics for Oncology Drug Development

Lantern Pharma (NASDAQ: LTRN) is a clinical-stage biotech using AI for cancer drug development. The company applies machine learning to identify biomarkers that can help predict drug response and treatment outcomes. Lantern is developing drug candidates for prostate, lung and pancreatic cancers. Its RADR AI platform analyzes data from failed clinical trials to determine why the drugs didn’t succeed and improve the chances of future success.

Business Overview

The company uses its RADR AI platform to analyze data from historical failed cancer drug trials to determine why those compounds failed and how to develop new drug candidates engineered to avoid pitfalls of previous efforts.

Lantern’s approach aims to identify genomic and molecular factors that can be targeted with precision cancer therapies tuned to specific biomarkers and mutations in patients. The goal is to significantly boost the poor 3-5% success rate for cancer drugs in clinical trials.

Lantern’s pipeline includes drug candidates focused on treating prostate, lung, and pancreatic cancer types which have weak historical treatment options. The company’s lead asset LP-300 for non-small cell lung cancer is entering Phase 2 trials in 2023. Its LP-184 drug for solid tumors has received FDA Orphan Drug status.

Growth Outlook

In the realm of clinical trials, Lantern has achieved a significant milestone by dosing the first patient in the Phase 2 Harmonicβ„’ clinical trial. This trial specifically targets non-small cell lung cancer (NSCLC) patients with a specific gene mutation, highlighting the company’s commitment to advancing precision medicine. It is expected that by the end of Q4 2023, Lantern will have enrolled a total of 60 patients in this trial, underlining its dedication to research and development in this critical medical area.

6. Lantern Pharma (LTRN) – AI and Genomics for Oncology Drug Development
Source: Tipranks

Lantern’s pipeline is also noteworthy, as the company is actively progressing four drug candidates for different cancer types, including prostate, ovarian, breast, and pancreatic cancers. This diverse pipeline demonstrates Lantern’s dedication to addressing multiple facets of cancer treatment, potentially offering new hope to patients across various cancer types.

However, it’s important to note that in Q2 2023, Lantern reported no revenue, maintaining the same financial status as Q2 2022. While this may indicate the early stages of their clinical trials and drug development efforts, it’s essential to monitor revenue growth as a key metric of their financial health.

On the flip side, Lantern did report an increase in net loss, with Q2 2023 showing a net loss of $4.8 million, compared to $3.6 million in Q2 2022. This suggests that while the company is investing in research and development, it is important for them to manage their expenses and strive for a sustainable financial model.

As of June 30, 2023, Lantern maintained a solid financial position with $30.5 million in cash and cash equivalents. This financial cushion is crucial for the company to continue its research efforts and achieve its ambitious goals in the field of oncology.

Lantern’s statement of being on track to achieve its key milestones for 2023 reflects their optimism and dedication to advancing cancer treatments. However, it is important for stakeholders and investors to closely follow the company’s progress, especially in terms of revenue generation and financial stability, as they navigate the complex landscape of clinical trials and drug development.

Related: Top 10+ AI Sales Tools for Professionals in 2023

7. SoundHound AI (SOUN) – Pioneer in Conversational AI

SoundHound AI (NASDAQ: SOUN) provides conversational AI technology and smart voice assistants. Its platform allows users to interact with devices through natural language conversations. SoundHound’s technology powers voice AI assistants including Mercedes-Benz’s MB Pro, Hyundai’s Intelligent Personal Agent and part of Samsung’s Bixby. It also enables voice commerce, drive-thru ordering and smart speakers. 

Business Overview

SoundHound has built an independent voice AI platform that allows users to engage in two-way conversations with smartphones, smart speakers, connected cars, robots, and other devices to get information, execute commands, and complete transactions.

The company’s technology powers voice assistants including Mercedes-Benz’s Mobility Assistant, Hyundai’s Intelligent Personal Agent, and part of Samsung’s Bixby. SoundHound also enables voice commerce applications like ordering food through drive-thrus and supports interactive smart speakers.

Notable partners integrating SoundHound’s technology include Mastercard, Deutsche Telekom, LG Electronics, Pandora and Yelp. The voice AI startup has strong global expansion momentum with operations across North America, Europe, and Asia.

Growth Outlook

In terms of revenue, SoundHound AI is poised for substantial growth, with expectations of expanding by more than 50% in 2023. This optimistic projection is underpinned by a robust bookings backlog that exceeds $300 million, indicating a strong demand for the company’s voice AI solutions. This demonstrates SoundHound AI’s ability to secure substantial contracts and highlights its prominence in the market.

7. SoundHound AI (SOUN) - Pioneer in Conversational AI
Source: Tipranks

Profitability is another key focus for SoundHound AI in 2023. The company has set its sights on achieving profitability within the year by implementing a strategic plan to reduce operating expenses by 20%. Central to this strategy is the emphasis on its high-velocity SaaS product, SoundHound for Restaurants. This approach reflects the company’s commitment to financial sustainability and efficiency.

8. Canaan Inc. (CAN) – Bitcoin Mining with AI Chips

Canaan (NASDAQ: CAN) manufactures bitcoin mining machines powered by artificial intelligence. The company designs ASIC chips optimized for crypto mining using AI to create advanced mining rigs. Canaan also sells AI servers for computing power sharing, intelligent robots, and AI training systems. It has shipped over 10 million AI chips to date.

Business Overview

In addition to bitcoin miners, Canaan sells AI accelerator cards, AI servers for computing power sharing, intelligent robots, and AI training systems. The company has shipped over 10 million AI chips to date, cementing itself as a major player bringing AI hardware innovation to the crypto industry. Canaan holds 130+ patents covering its custom AI chip designs tailored for mining Bitcoin, litecoin, and other digital currencies.

Canaan markets its next-generation bitcoin miners under the Avalon brand which run on its proprietary K210, V910 and V9915 AI chips. These mining rigs deliver substantial improvements in energy efficiency, hash rate performance and stability versus previous models.

Growth Outlook

In terms of revenue, Canaan reported impressive figures in Q2 2023, amounting to $167.5 million. This represents an extraordinary year-over-year growth rate of 507%, showcasing the company’s ability to tap into the surging demand for its products and services in the cryptocurrency sector. Furthermore, Canaan anticipates sustaining its growth momentum, with an expected sequential revenue increase of 10% to 30% in Q3 2023. Such projections underscore Canaan’s confidence in its market position and its ability to meet ongoing demand.

8. Canaan Inc. (CAN) - Bitcoin Mining with AI Chips
Source: Tipranks

Earnings have also seen a significant improvement for Canaan. In Q2 2023, the company reported earnings of $0.05 per share, a substantial increase from a loss of ($0.42) per share in the same quarter of the previous year (Q2 2022). Looking ahead, Canaan expects continued improvement in earnings, with a projected range of ($0.90) to ($0.45) per share in 2023. This trajectory suggests that the company is working to enhance its profitability and financial stability.

Margin performance is another key aspect of Canaan’s growth outlook. In Q2 2023, the company reported a gross margin of 28.4%, a remarkable leap from 6.4% in Q2 2022. Canaan aims to maintain a stable gross margin in Q3 2023, indicating its commitment to financial sustainability and operational efficiency.

Related: Best 7 AI Financial Advisors & Stock Analysts in 2023

9. Himax Technologies (HIMX) – Semiconductor Solutions for AI

Himax Technologies (NASDAQ: HIMX) provides semiconductor solutions tailored for AI image processing. The company’s offerings enable computer vision capabilities in applications like automotive, surveillance, augmented reality, smart homes and AIoT devices.

Business Overview

25% of Himax’s revenue comes from products leveraging AI and machine learning. This includes driver monitoring systems, 3D sensing solutions, image signal processors and AI accelerator chips.

In automotive, Himax is the global leader in driver monitoring systems used for driver safety and autonomous driving features. The company also provides 3D sensing technologies widely used in facial recognition for smartphones and laptops.

Himax further produces display driver ICs, timing controllers and other semiconductor components that power billions of consumer electronics and Internet of Things (IoT) products globally.

Growth Outlook

The stock price forecast for HIMX suggests a potential increase of 28.6% over the next twelve months, with analysts projecting a target price of $8.00 compared to the current price of $6.22. This positive outlook indicates optimism about the company’s future performance and potential for stock price appreciation.

9. Himax Technologies (HIMX) – Semiconductor Solutions for AI
Source: Tipranks

However, it’s worth noting that HIMX has faced challenges in terms of negative earnings and revenue growth over the past year. This suggests that despite the positive stock price outlook, the company may be grappling with underlying operational issues that have impacted its financial results..

10. Evolv Technologies (EVLV) – AI Security Screening

Evolv Technologies (NASDAQ: EVLV) provides industry leading AI touchless security screening systems powered by artificial intelligence. Its systems can detect threats and weapons concealed by individuals in crowds without using metal detectors.

Business Overview

Evolv uses millimeter wave sensors, video cameras and machine learning algorithms to screen people in public venues in a quick, discreet and flexible manner. Customers include Six Flags, L.L.Bean, Uber, and Lincoln Center.

Over 850 security checkpoints worldwide have screened more than 225 million people using Evolv’s solutions. The company sells both hardware security systems and Software-as-a-Service (SaaS) offerings with embedded AI screening software.

Growth Outlook

EVLV anticipates that its revenue for the year 2023 will fall within the range of $70 million to $75 million. This projection reflects a substantial year-over-year growth rate, ranging from 40% to 48%. This suggests that the company is poised for robust expansion in terms of top-line revenue, underlining its ability to capture market opportunities and increase its financial performance.

10. Evolv Technologies (EVLV) – AI Security Screening
Source: Tipranks

In addition to revenue growth, EVLV is also targeting significant growth in its Annual Recurring Revenue (ARR), with expectations in the range of $50 million to $55 million for 2023. This represents a year-over-year growth rate of 47% to 61%. ARR is a crucial metric for subscription-based businesses, indicating the stability and growth potential of their revenue streams.

Furthermore, EVLV is setting ambitious goals for its Remaining Performance Obligations (RPO), aiming for a range of $200 million to $220 million in 2023. This metric signifies the expected future revenue from existing contracts, highlighting EVLV’s commitment to maintaining and expanding its customer base. The projected year-over-year growth in RPO, ranging from 38% to 52%, suggests that the company is actively securing long-term revenue streams.

Comparison Sheet: Top AI Company Stocks to Buy Under $50

CompanyStock PriceAnalyst RatingTrading VolumeYTD PerformanceMarket Cap
AIC3ai$31.22Hold6.77M+115.16%$3.68B
Palantir Technologies (PLTR)$15.18Hold45.26M+105.14%$32.66B
Tencent Holdings (TCEHY)$42.25Moderate Buy3.77M+4.81%$392.42B
Intel (INTC)$36.61Hold43.81M+21.22%$153.32B
Rekor Systems (REKR)$3.81Moderate Buy980.04K+207.26%$262.70M
Lantern Pharma (LTRN)$4.66Moderate Buy30.33K-10.38%$50.65M
SoundHound AI, Inc Class A (SOUN)$2.52Strong Buy10.33M-23.87%$607.96M
Canaan (CAN)$1.99Moderate Buy3.75M-41.47%$338.37M
Himax Technologies (HIMX)$6.17Moderate Buy346.91K+11.98%$1.08B
Evolv Technologies Holdings (EVLV)$6.94Strong Buy1.31M+227.36%

The companies above represent diverse applications of artificial intelligence across:

  • Enterprise software
  • Data analytics
  • Semiconductors
  • Security
  • Biotech
  • Conversational AI

But they share certain key growth drivers fueling adoption of their AI solutions:

  • Cost Savings – AI can automate tasks and processes, reducing labor expenses across sectors. It also optimizes operations like supply chains to cut costs. Enhanced Decision 
  • Making – AI analyzes data to spot patterns and predict future outcomes, enabling smarter real-time decisions.
  • Personalization – AI powers individualized recommendations and experiences boosting customer satisfaction and loyalty.
  • Safety & Accuracy – AI improves monitoring, threat detection, fraud prevention and quality control – e.g. in manufacturing.
  • Innovation – First movers using AI gain advantages over competitors, encouraging adoption to stay ahead.

These catalysts should drive sustainable double-digit revenue growth at many of the profiled companies. Profitability may take longer to achieve, but these stocks have potential to deliver outsized returns from their current valuations if execution continues.

Outlook for AI Stocks

AI has become an essential contributor to business success and economic growth. According to PwC analysis, AI could add $15.7 trillion to the global economy by 2030.

The transformative potential of AI provides a long runway for the stocks above to capitalize on demand across industries. As AI capabilities keep advancing, these companies are well positioned to be long-term winners.

However, investors should be selective when evaluating AI stocks based on financial metrics and competitive advantages. Look for companies that have meaningful traction with customers and partnerships, innovative proprietary technology, and leadership from seasoned management teams.

Monitor quarterly results for signs of execution. AI investments carry more risk versus established software stocks, so position size appropriately and diversify holdings.

The AI stocks above offer exposure to key trends in AI chips, data analytics, voice assistants, computer vision, healthcare and more. For investors who can accept volatility, buying shares in the most promising AI pure-plays under $50 looks like a worthwhile strategy for long-term growth.

FAQs

Are AI stocks a good investment for beginners?

AI stocks can be suitable for beginners, but it’s essential to research and understand the market before investing.

What are the potential risks of investing in AI stocks?

Risks include market volatility, technological setbacks, and competition.

How can I buy AI stocks under $50?

You can purchase these stocks through a brokerage account.

Is it advisable to invest in multiple AI stocks or focus on one company?

Diversifying your investments by considering multiple AI stocks can help manage risk.

Can I expect quick returns from AI stocks, or is it a long-term investment?

AI stocks can provide both short-term and long-term opportunities; the choice depends on your investment goals and risk tolerance.

Read more related topics:

Disclaimer

Any data, text, or other content on this page is provided as general market information and not as investment advice. Past performance is not necessarily an indicator of future results.


The Trust Project is a worldwide group of news organizations working to establish transparency standards.

Damir is the team leader, product manager, and editor at Metaverse Post, covering topics such as AI/ML, AGI, LLMs, Metaverse, and Web3-related fields. His articles attract a massive audience of over a million users every month. He appears to be an expert with 10 years of experience in SEO and digital marketing. Damir has been mentioned in Mashable, Wired, Cointelegraph, The New Yorker, Inside.com, Entrepreneur, BeInCrypto, and other publications. He travels between the UAE, Turkey, Russia, and the CIS as a digital nomad. Damir earned a bachelor's degree in physics, which he believes has given him the critical thinking skills needed to be successful in the ever-changing landscape of the internet.Β 

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Damir Yalalov
Damir Yalalov

Damir is the team leader, product manager, and editor at Metaverse Post, covering topics such as AI/ML, AGI, LLMs, Metaverse, and Web3-related fields. His articles attract a massive audience of over a million users every month. He appears to be an expert with 10 years of experience in SEO and digital marketing. Damir has been mentioned in Mashable, Wired, Cointelegraph, The New Yorker, Inside.com, Entrepreneur, BeInCrypto, and other publications. He travels between the UAE, Turkey, Russia, and the CIS as a digital nomad. Damir earned a bachelor's degree in physics, which he believes has given him the critical thinking skills needed to be successful in the ever-changing landscape of the internet.Β 

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