10 Worst Artificial Intelligence (AI) Stocks To Buy According to Financial Media

5. Informatica Inc. (NYSE:INFA)

Number of Hedge Fund Holders: 28

Informatica Inc. (NYSE:INFA) is a leading provider of data integration and management software that includes products like enterprise cloud data management to help businesses collect, organize, and analyze data from various sources. It leverages AI to automate data integration processes, improve data quality, and enable advanced analytics.

It is the industry’s only cloud data management platform with AI and GenAI capabilities for modern enterprises, ever since the launch of CLAIRE GPT, its GenAI chat interface, on the Intelligent Data Management Cloud (IDMC) platform. Since its launch, 150+ enterprise customers have consumed IPUs on CLAIRE GPT usage, primarily for data discovery and exploration use cases.

In Q2, total revenue grew 6.55% year-over-year. Subscription ARR was up 15%, with cloud subscription ARR growing 37%. The company hit a record $703 million in cloud subscription ARR, while the average subscription ARR per customer was up 17%. Customers spending over $1 million increased 28%, and those spending over $5 million grew 30%.

American Airlines, the world’s largest airline, purchased Cloud Data Quality to improve real-time customer service. A major GPU supplier chose Informatica Inc.’s (NYSE:INFA) IDMC platform, which includes MDM, Data Quality, Data Integration, and Data Governance capabilities. Approximately 26% of the new cloud ARR in the past year came from on-premise to cloud migrations.

PowerCenter Cloud Edition is being adopted by many customers, accounting for over 80% of modernization deals in Q2. Westpac, a major Australian bank, has expanded its partnership with this company, transitioning from PowerCenter to IDMC.

Informatica Inc. (NYSE:INFA) is innovating its IDMC, enhancing data ingestion and integration. With ~$1 billion in R&D and IDC recognition, IDMC processed 97 trillion cloud transactions in June, a 59% year-over-year increase, making the company well-positioned for continued growth in the evolving data management and AI landscape.