10 AI News and Ratings Making Waves Around Wall Street

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1. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 279

Microsoft Corporation (NASDAQ:MSFT) delivers cloud, productivity, and business solutions driven by AI, advancing operational efficiency and security while making significant investments in AI development.

On January 29, Microsoft reported FY25 Q2 GAAP EPS of $3.23, exceeding expectations by $0.13. Revenue reached $69.6 billion, reflecting a 12.2% year-over-year increase and surpassing estimates by $790 million. Satya Nadella, Microsoft’s CEO, highlighted the company’s AI advancements, noting that the AI business has exceeded an annual revenue run rate of $13 billion, marking a 175% year-over-year growth. Intelligent Cloud revenue reached $25.5 billion, up 19% year-over-year.

While we acknowledge the potential of Microsoft Corporation (NASDAQ:MSFT) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than MSFT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap

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