10 AI Stocks That Could Go Parabolic According to Financial Media

3. Meta Platforms, Inc. (NASDAQ:META)

Number of Hedge Fund Holders: 219

Meta Platforms, Inc. (NASDAQ:META) engages in the development of products that enable people to connect and share with friends and family through mobile devices, personal computers, virtual reality headsets, and wearables worldwide. The company is using AI to improve the advertisement side of the business. This strategy appears to be bearing fruit. The tech giant recently beat market expectations on earnings for both the top and bottom lines, and also raised guidance for AI-related capital expenditures. Meta managed to grow twice as fast as rival Google in the ads space in the second quarter, even while reporting an increase in price per ad figures during the earnings call.

This effective AI strategy has caught the attention of market experts on Wall Street. Investment advisory Tigress Financial has a Strong Buy rating on Meta Platforms, Inc. (NASDAQ:META). In a recent investor note, the advisory highlighted that the cash flow of the tech giant was enabling ongoing investments in artificial intelligence initiatives that would drive user engagement, better content, and a more effective advertising experience.