17 Trending AI Stocks on Latest Analyst Ratings and News

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1.  NVIDIA Corporation (NASDAQ:NVDA

Number of Hedge Fund Holders: 179 

NVIDIA Corporation (NASDAQ:NVDA) provides graphics, computing and networking solutions. The company recently posted earnings for the second quarter of 2024, beating market expectations on earnings per share and revenue by $0.04 and $1.3 billion respectively. The guidance numbers for the third fiscal quarter also topped expectations. Multiple concerns about the production ramps of Blackwell, the latest AI chips being marketed by the firm, were also addressed during the earnings call. The CFO revealed that the firm had shipped customer samples of the Blackwell architecture in the second quarter, and the production ramp for the chip was scheduled to begin in the fourth quarter and continue into fiscal 2026.

Following the earnings call, Wall Street analysts have reiterated their bullish calls on NVIDIA Corporation (NASDAQ:NVDA) stock. Raymond James raised the price target on the stock to $140 from $120 and kept a Strong Buy rating, noting that Blackwell delays appeared better than feared and management was forecasting a strong ramp in Q4. The advisory further detailed that Hopper demand continued to be healthy with further growth expected in FQ4.

While we acknowledge the potential of NVIDIA Corporation (NASDAQ:NVDA) as an investment, our conviction lies in the belief that some 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 NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: Michael Burry Is Selling These Stocks and Jim Cramer is Recommending These Stocks.

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