10 Most Popular AI Penny Stocks to Buy Under $5

4. Perfect Corp. (NYSE:PERF)

Share Price as of March 24: $1.93

Number of Hedge Fund Holders: 9

Perfect Corp. (NYSE:PERF) is an AI SaaS company that specializes in AR and AI solutions for the beauty, fashion, and skincare industries globally. It offers AI and AR-powered tools for virtual try-ons, skin diagnostics, and image editing. It provides licensing and cloud-based solutions to brand owners and individual consumers.

The company’s AI-powered solutions encompass both its B2C mobile app subscriptions and B2B AI/AR cloud services. In the B2C sector, AI is central to photo and video editing features, with GenAI tools like AI hairstyle transformations and face swaps driving user engagement. The company’s mobile app subscriber base reached over 1 million by the end of 2024, which was a 14.3% year-over-year increase.

For B2B clients, Perfect Corp. (NYSE:PERF) offers AI-powered skin diagnostics and virtual try-on technologies. AI skin analysis detects 15 major skin concerns, which enables personalized product recommendations. The company has reached 732 brand clients with over 822,000 skills onboarded. The company reported a 12.5% revenue increase for 2024. AI/AR cloud solution and subscription revenue grew by 25.4% in Q4. It projects 2025 revenue growth between 13% and 14.5%.