In this article, we discuss the 35 AI news and ratings you should not miss.
Data center investments by hyperscalers to leap ahead in the artificial intelligence (AI) race are a hot topic on Wall Street. A latest study into the matter by consulting firm McKinsey sheds further light on the European market in this regard. According to the McKinsey report, data center power consumption in Europe is set to nearly triple by 2030, necessitating a significant increase in electricity supply, particularly from low-carbon sources, along with upgrades to grid infrastructure. McKinsey estimates that the total IT load demand from data centers in Europe is expected to grow to approximately 35 gigawatts (GW) by 2030, up from 10 GW presently. Current trends also indicate that data center power consumption in the region is anticipated to triple to over 150 terawatt hours (TWh) by the end of this decade.
Read more about these developments by accessing 10 Best AI Data Center Stocks and 10 Buzzing AI Stocks According to Goldman Sachs.
The report further reveals that data centers are expected to represent about 5% of Europe’s total power consumption in the next six years, compared to roughly 2% at present. Meeting this growing demand will require a minimum investment of around $300 billion in data center infrastructure, excluding power generation capacity. The report also highlighted that satisfying the increased electricity demand will require a substantial boost in supply, which represents a significant shift for Europe, where overall power demand has remained largely unchanged since 2007. Kevin Restivo of CBRE recently highlighted that demand for data center space in Europe is set to outstrip delivery of new stock for the third straight year and AI demand will exacerbate the issue.
Read more about these developments by accessing 30 Most Important AI Stocks According to BlackRock and Beyond the Tech Giants: 35 Non-Tech AI Opportunities.
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Our Methodology
For this article, we selected AI stocks by combing through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
AI News and Ratings You Should Not Miss
35. Iron Mountain Incorporated (NYSE:IRM)
Number of Hedge Fund Holders: 24
Iron Mountain Incorporated (NYSE:IRM) is a real estate investment trust that focuses on storage and information management services. The stock has climbed to an all-time high in recent weeks on the back of AI data center momentum. On October 17, Wells Fargo analyst Eric Luebchow raised the price target on Iron Mountain to $135 from $120 and kept an Overweight rating on the shares. The firm is presently operating 265 megawatts of data center capacity, which is 96% to 97% leased, and has under construction another 305 megawatts, which is projected to be complete in phases over the next few quarters.
34. DigitalBridge Group, Inc. (NYSE:DBRG)
Number of Hedge Fund Holders: 24
DigitalBridge Group, Inc. (NYSE:DBRG) is an infrastructure investment firm specializing in digital infrastructure assets. On October 21, the firm announced that it had completed a majority takeover of Japanese communications infrastructure firm JTOWER Inc. DigitalBridge acquired a 75.62% controlling interest in JTOWER for JPY 70.1 billion, marking a significant milestone in the expansion into the Japanese digital infrastructure market. DigitalBridge plans to take JTOWER private. The delisting of JTOWER is expected to be completed in Q1 2025. On October 1, JPMorgan analyst Richard Choe raised the price target on DigitalBridge to $23 from $22 and kept an Overweight rating on the shares.
33. Celestica Inc. (NYSE:CLS)
Number of Hedge Fund Holders: 38
Celestica Inc. (NYSE:CLS) offers a range of product manufacturing and related supply chain services. On October 23, the company posted earnings for the third quarter of 2024, reporting earnings per share of $1.04, beating analyst expectations by $0.10. The revenue over the period was $2.5 billion, up over 22% compared to the revenue over the same period last year and beating market expectations by $80 million. Canaccord analyst Robert Young has a Buy rating on the stock with a price target of $70.
32. Digital Realty Trust, Inc. (NYSE:DLR)
Number of Hedge Fund Holders: 44
Digital Realty Trust, Inc. (NYSE:DLR) brings companies and data together by delivering the full spectrum of data center, colocation, and interconnection solutions. On October 17, Wells Fargo raised the price target on the stock to $175 from $170 and kept an Overweight rating on the shares. The advisory remains constructive on data centers, as potentially record Q3 demand and market rent growth of 15%-25% help support valuations. Digital Realty will post third-quarter 2024 results later this week. The quarterly results are expected to reflect year-over-year growth in both revenues and funds from operations per share.
31. Palantir Technologies Inc. (NYSE:PLTR)
Number of Hedge Fund Holders: 44
Palantir Technologies Inc. (NYSE:PLTR) is a public American company that specializes in software platforms for big data analytics. On October 23, the firm announced a partnership with defense contractor L3Harris to propel advanced technology development and accelerate digital transformation for the latter. Under the deal, the Artificial Intelligence Platform of Palantir will be integrated with the sensors and software-defined systems of L3Harris to enable new levels of capability and resilient connectivity across the joint-all-domain network, ensuring warfighters can make more informed decisions faster. On October 17, Mizuho analyst Gregg Moskowitz raised the price target on Palantir to $30 from $24 and kept an Underperform rating on the shares.
30. Juniper Networks, Inc. (NYSE:JNPR)
Number of Hedge Fund Holders: 45
Juniper Networks, Inc. (NYSE:JNPR) designs, develops, and sells network products and services worldwide. Latest reports, published on October 22, suggest that the company has been selected to support the digital transformation with a move to an IP-based network infrastructure for the Norwegian Broadcasting Corporation. The public service broadcaster in the Nordic region will use the MPLS-based, automated Wide-Area Network (WAN) of the former to underpin its live and on-demand TV, radio and online media broadcasting services. The new network will provide the broadcaster with fast and reliable connectivity while also improving the quality of experience for end users consuming its content.
29. SBA Communications Corporation (NASDAQ:SBAC)
Number of Hedge Fund Holders: 45
SBA Communications Corporation (NASDAQ:SBAC) is a leading independent owner and operator of wireless communications infrastructure including towers, buildings, rooftops, distributed antenna systems, and small cells. On October 14, KeyBanc raised the price target on the stock to $280 from $230 and kept an Overweight rating on the shares. Heading into Q3 earnings, the advisory’s view remains consistent, and it continues to prefer towers versus data centers. Ahead of the earnings release, analysts on Wall Street project that the firm will announce quarterly earnings of $3.32 per share, representing a decline of 0.6% year over year. Revenues are projected to reach close to $669 million, declining 2% from the same quarter last year.
28. Coherent Corp. (NYSE:COHR)
Number of Hedge Fund Holders: 47
Coherent Corp. (NYSE:COHR) develops, manufactures, and markets engineered materials, optoelectronic components, and devices worldwide. On October 22, Rosenblatt downgraded the stock to Neutral from Buy with a $105 price target, noting that the stock was up 126% year-to-date, which the advisory attributed to leadership in datacom transceivers for AI, a strong new CEO, and the potential for the telecom and industrial businesses to improve. While the advisory believes Coherent will be a long-term AI winner, and contends that the stock looks good for investors with a three-year time horizon, it foresees FY25 headwinds that may disappoint more bullish expectations.
27. Super Micro Computer, Inc. (NASDAQ:SMCI)
Number of Hedge Fund Holders: 47
Super Micro Computer, Inc. (NASDAQ:SMCI) develops and manufactures high performance server and storage solutions based on modular and open architecture. On October 21, research firm Needham penned an investor note on the company after attending the 2024 Open Compute Project Summit. In the note, analyst N Quinn Bolton said the focus of most of Super Micro’s presentations during the conference were the shift to liquid cooled data centers, which the company has been a leader in. Bolton reiterated a Buy rating on the stock with a price target of $60, and added that after attending OCP, the advisory was incrementally more positive on the liquid cooling market and viewed Supermicro as well positioned to capitalize on this significant industry transition.
26. KLA Corporation (NASDAQ:KLAC)
Number of Hedge Fund Holders: 55
KLA Corporation (NASDAQ:KLAC) markets process control and yield management solutions for the semiconductor industry. Latest reports, published on October 23, reveal that the company has completed the first phase of a new manufacturing facility in Singapore. The first phase included the building of the new facility as part of a $200 million investment by KLA to grow presence in Singapore. The area presently serves as a key manufacturing and engineering hub for the company. KLA is expected to commence work on expanding the facility, which is projected to be complete within the next two years. Oppenheimer recently initiated coverage of KLA Corp with a Perform rating and $750 price target.
25. Equinix, Inc. (NASDAQ:EQIX)
Number of Hedge Fund Holders: 56
Equinix, Inc. (NASDAQ:EQIX) is a California-based real estate trust that operates data centers and other technology assets. On October 17, Wells Fargo raised the price target on the stock to $975 from $875 and kept an Overweight rating on the shares. The advisory remains constructive on data centers, as potentially record Q3 demand and market rent growth of 15%-25% help support valuations. Wells Fargo remains most positive on Equinix, where it sees the most attractive risk/reward into outperforming expectations into 2025.
24. NRG Energy, Inc. (NYSE:NRG)
Number of Hedge Fund Holders: 56
NRG Energy, Inc. (NYSE:NRG) operates as an energy and home services company in the United States and Canada. On October 22, Seaport Research raised the price target on the stock to $95 from $93 and kept a Buy rating on the shares. Latest reports suggest that real estate firm CBRE has acquired the renewable advisory group of NRG to bolster the capabilities of the sustainability solutions business of the former. Miro Sutton at CBRE is expected to lead the advisory group. Sutton claims, per ESG Dive, that over the next five years, many expect US electricity consumption to skyrocket after a decade of stagnation and the renewable industry was at the heart of the solution to this complex problem.
23. Analog Devices, Inc. (NASDAQ:ADI)
Number of Hedge Fund Holders: 64
Analog Devices, Inc. (NASDAQ:ADI) designs, manufactures, tests, and markets integrated circuits (ICs), software, and subsystems products. The stock was recently named in a research note on the broader semi industry by investment firm Susquehanna on October 21. The note, penned by analysts led by Chris Rolland, underlined that for industrials, Analog Devices had been among the first to confess to a down cycle, and recent softness suggested that weakness continued to persist. The note claimed that the automotive outlook for semis continued to underwhelm as well, as multiple automobile manufactures had pointed out elevated inventory, weak demand and lower-than-anticipated electric vehicle adoption.
22. Arista Networks, Inc. (NYSE:ANET)
Number of Hedge Fund Holders: 65
Arista Networks, Inc. (NYSE:ANET) engages in the development, marketing, and sale of data-driven, client to cloud networking solutions for data center, campus, and routing environments. On October 15, Wells Fargo maintained an Overweight rating and $390 price target on Arista shares. In a research note, the advisory underlined that Arista Networks published a blog post outlining Meta Platforms’ deployment of the Arista 7700R4 Distributed Etherlink Switch, or DES, for the company’s latest Ethernet-based large-scale AI cluster. Arista’s blog comes as shares have seemingly come under some pressure following Meta’s Minipack 51.2T switch announcement, but the advisory thinks any concerns are misplaced.
21. Constellation Energy Corporation (NASDAQ:CEG)
Number of Hedge Fund Holders: 71
Constellation Energy Corporation (NASDAQ:CEG) generates and sells electricity in the United States. On October 22. KeyBanc raised the price target on the stock to $298 from $279 and maintained an Overweight rating, noting the target increase reflected the multiple expansion the energy firm deserves based on the higher long-term growth rate and expanding intrinsic value of its generation portfolio. Barclays also recently raised the price target on Constellation Energy to $282 from $280 and kept an Overweight rating on the shares as part of a Q3 preview for the power and utilities group. Barclays said the sector is reconciling an inevitability of a higher load outlook.
20. Amphenol Corporation (NYSE:APH)
Number of Hedge Fund Holders: 72
Amphenol Corporation (NYSE:APH) specializes in designing, manufacturing, and marketing electrical, electronic, and fiber optic connectors. On October 23. Bank of America analyst Wamsi Mohan raised the price target on the stock to $74 from $70 and kept a Neutral rating on the shares. Amphenol had a strong quarter, with both revenue and EPS beating guidance and Street estimates, and Q4 and the fiscal year outlook was guided conservatively, the advisory told investors in a research note. CapEx stepped up meaningfully and could reflect the company’s confidence in AI orders into 2025, the note underlined, adding that $2 billion in incremental revenues at 35% incremental margins could drive significant upside to consensus in EPS, but the advisory isn’t ready to underwrite this notion as of yet given view of continued design changes at some large programs.
19. Intel Corporation (NASDAQ:INTC)
Number of Hedge Fund Holders: 75
Intel Corporation (NASDAQ:INTC) markets key technologies for smart devices. Latest reports, first published by news platform CNBC on October 17, indicate that Intel is looking to sell at least a minority stake in its Altera unit in a transaction that would raise several billion dollars. Per the reports, Intel is looking for a deal that values Altera at around $17 billion, according to sources quoted by CNBC. Back in 2015, the chipmaker had purchased Altera for $16.7 billion. The company made overtures to a number of private equity and strategic investors last week about Altera, the sources added.
18. Applied Materials, Inc. (NASDAQ:AMAT)
Number of Hedge Fund Holders: 77
Applied Materials, Inc. (NASDAQ:AMAT) provides equipment, services, and software for the semiconductor industry. Market research firm Hedgeye on October 15 named the company as a new short idea with the potential for 22%-32% downside. In a research note, Hedgeye analyst Felix Wang wrote that management often touts their 4-tier growth strategy – semi < fab < AMAT semi < AGS growth – but Hedgeye tested their conclusions and found it may not look as good as it seems. Wang argued that WFE may only grow 2% and 1% in 2025 & 2026, respectively, while the Street estimates 8%-10% growth for 2025 and 5%-10% growth for 2026. Wang further added that from a financial comparison, AMAT actually looked the worst among its peers in several categories, and market share losses for AMAT were also a possibility.
17. ASML Holding N.V. (NASDAQ:ASML)
Number of Hedge Fund Holders: 81
ASML Holding N.V. (NASDAQ:ASML) makes and sells advanced semiconductor equipment systems. On October 22, Erste Group analyst Hans Engel downgraded the stock to Hold from Buy. ASML disappointed with its Q3 report, announcing a significantly lower volume of new orders than expected and the forecast for revenue in 2025 was also significantly lowered, noted the advisory, which also pointed out that the gross margin expected for 2025 will be lower than previously forecast. The stock has also been impacted by recent reports that electronics giant Samsung has delayed taking shipments of ASML’s chip making machines for a new US plant.
16. Lam Research Corporation (NASDAQ:LRCX)
Number of Hedge Fund Holders: 84
Lam Research Corporation (NASDAQ:LRCX) markets semiconductor processing equipment. On October 23, the company posted earnings for the first fiscal quarter, reporting earnings per share of $0.86, beating market estimates by $0.06. The revenue over the period was $4.17 billion, up close to 20% compared to the revenue over the same period last year and beating analyst expectations by $110 million. Looking ahead, the semi firm expects second-quarter revenue to be $4.3 billion, plus or minus $300 million, with gross margins between 46.9%, plus or minus 1%. It also expects earnings per share to be $0.87 per share, plus or minus 10 cents. A consensus of analysts were anticipating earnings of $0.85 per share on $4.22 billion in revenue for the second quarter.
15. Dell Technologies Inc. (NYSE:DELL)
Number of Hedge Fund Holders: 88
Dell Technologies Inc. (NYSE:DELL) designs, develops, manufactures, markets, sells, and supports various comprehensive and integrated solutions, products, and services. Dell is one of the biggest beneficiaries of a recent deal between IT security firm Sophos to purchase cybersecurity company Secureworks in a deal worth $859 million. Dell shareholders will receive $8.50 per share in cash from the deal. This represents a 28% premium to the unaffected 90-day volume-weighted average price. The transaction is expected to close in early 2025, subject to customary closing conditions. On October 21, JPMorgan analyst Samik Chatterjee placed Dell Technologies on Positive Catalyst Watch saying a recovery in traditional infrastructure driving margin beats while backlog expansion provides higher visibility into a robust demand pipeline.
14. GE Vernova Inc. (NYSE:GEV)
Number of Hedge Fund Holders: 92
GE Vernova Inc. (NYSE:GEV) is an energy company that engages in the provision of various products and services that generate, transfer, orchestrate, convert, and store electricity. On October 23, Evercore ISI raised the price target on the stock to $323 from $300 and kept an Outperform rating on the shares. The advisory updated its model to reflect Q3 and the company’s guidance, noting that the company now expects 2024 revenue to be towards the higher end of its $34 billion – $35 billion guidance with free cash flow trending towards the higher end of its $1.3 billion – $1.7 billion view. The advisory, which is leaving its 2025 and 2026 adjusted EBITDA estimates unchanged at $3.32 billion and $4.54 billion, respectively, notes that its increased price target reflects a higher market multiple.
13. Vertiv Holdings Co (NYSE:VRT)
Number of Hedge Fund Holders: 92
Vertiv Holdings Co (NYSE:VRT) designs, manufactures, and services critical digital infrastructure technologies and life cycle services for data centers, communication networks, and commercial and industrial environments. On October 23, the firm posted earnings for the third quarter of 2024, reporting earnings per share of $0.76, beating market estimates by $0.07. The revenue over the period was more than $2 billion, up 19% compared to the revenue over the same period last year and beating analyst expectations by $90 million. The firm also raised guidance numbers for the fourth quarter, saying it expected organic net sales growth to be in the range of 11% to 15% in the coming months.
12. Vistra Corp. (NYSE:VST)
Number of Hedge Fund Holders: 92
Vistra Corp. (NYSE:VST) operates as an integrated retail electricity and power generation company. On October 22, Seaport Research raised the price target on the stock to $155 from $126 and kept a Buy rating on the shares. The advisory said it continued to scrutinize the valuations and cash generation of thermal and renewable power IPPs, struggling to see growth in cash EBITDAs of large renewable power developers despite billions in annual investments. Meanwhile, thermal IPPs were expanding their gas/nuclear plants under long-term contracts and yet no one tried to strip out their devco-related overheads or assign billions to their internal plant development capabilities, the advisory added. Vistra remained one of the top picks for thermal and renewable power IPPs, per Seaport Research.
11. QUALCOMM Incorporated (NASDAQ:QCOM)
Number of Hedge Fund Holders: 100
QUALCOMM Incorporated (NASDAQ:QCOM) develops and sells foundational technologies for the wireless industry. On October 23, the firm announced a multi-year technology collaboration with Google aimed at advancing digital transformation in automotive. Under the deal, the two companies will leverage technologies from the Snapdragon Digital Chassis, Android Automotive OS and Google Cloud to produce a new standardized reference platform for the development of cockpit solutions using generative artificial intelligence. Underpinning the delivery of this framework will be Google AI, to create Gen AI-enabled in-car experiences like intuitive voice assistants, immersive map experiences, and real-time updates to anticipate driver needs, powered by Snapdragon heterogeneous edge AI system-on-chips and Qualcomm AI Hub.
10. Advanced Micro Devices, Inc. (NASDAQ:AMD)
Number of Hedge Fund Holders: 108
Advanced Micro Devices, Inc. (NASDAQ:AMD) operates as a semiconductor manufacturer. On October 11, Roth MKM analyst Suji Desilva kept a Buy rating and $200 price target on AMD, saying the stock represented an opportunity in a broadly coordinated AI infrastructure push. AMD’s chip hardware, SW platform, and Ethernet networking advances all represent a compelling integrated AI infrastructure platform, particularly for high scale AI inferencing workloads, and the advisory is particularly impressed by the company’s EPYC processor, networking, and software advances which complement the relentless Instinct GPU roadmap, the advisory told investors in a research note.
9. Micron Technology (NASDAQ:MU)
Number of Hedge Fund Holders: 120
Micron Technology (NASDAQ:MU) makes and sells memory and storage products. On October 23, the firm announced that its 9550 PCIe Gen5 E1.S data center SSDs had been added to the NVIDIA recommended vendor list for the NVIDIA GB200 NVL72 system and its derivatives. The GB200 NVL72 uses the GB200 Grace Blackwell Superchip to deliver rack-scale, energy-efficient AI infrastructure. The enablement of PCIe Gen5 storage in the system makes the Micron 9550 SSD an ideal fit for optimizing performance and power efficiency in AI workloads like large-scale training of AI models, real-time trillion-parameter language model inference and high-performance computing tasks. Investment advisory KeyBanc recently lowered the price target on Micron stock to $135 from $145 and kept an Overweight rating on the shares.
8. Broadcom Inc. (NASDAQ:AVGO)
Number of Hedge Fund Holders: 130
Broadcom Inc. (NASDAQ:AVGO) is an American multinational designer, developer, manufacturer, and global supplier of a wide range of semiconductor and infrastructure software products. Susquehanna on October 21 released an investor note on the semi industry, noting that companies with an artificial intelligence focus continued to thrive, while semiconductor stocks with heavy auto/industrial exposure faced headwinds. Susquehanna analysts, led by Chris Rolland, claimed that AI-focused semis appeared to be in good shape, as Susquehanna expected hyperscale and data center capital expenditures to continue to climb. With reference to Broadcom, the analysts pointed out that the bar had been raised for most AI stocks as prior AI guidance would likely need to be raised to support stock prices.
7. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)
Number of Hedge Fund Holders: 156
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) makes and sells integrated circuits and semiconductors. On October 23, Barclays raised the price target on the stock to $215 from $200 and kept an Overweight rating on the shares. In an investor note, the advisory detailed that TSM continued to deliver on its leading position, which was only strengthening due to its technology leadership. The advisory continued to see TSM as one of the most straightforward ways to play the artificial intelligence boom, which it said showed no signs of slowing.
6. Alphabet Inc. (NASDAQ:GOOG)
Number of Hedge Fund Holders: 165
Alphabet Inc. (NASDAQ:GOOG) is a California-based technology company that owns and runs the internet search engine Google. On October 21, the firm announced that it would be partnering with defense giant Honeywell in a project aimed at connecting AI agents with assets, people and processes to accelerate safer, autonomous operations for the industrial sector. The first solutions built with Google Cloud for this purpose will be available to Honeywell customers in 2025. The collaboration brings together the multimodality and natural language capabilities of Gemini on Vertex AI – the AI platform of Google – and the data set on Honeywell Forge, an Internet of Things platform for industrials.
5. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 179
NVIDIA Corporation (NASDAQ:NVDA) provides graphics, computing and networking solutions. Jensen Huang, the CEO of the firm, on October 23 said that a design flaw with the latest Blackwell AI chips which impacted production had been fixed with the help of longtime Taiwanese manufacturing partner TSMC. News agency Reuters quoted the executive at the launch of a supercomputer in Denmark. Blackwell chips had to go into mass production in the second quarter of 2024 but were delayed by a few months, impacting hyperscale NVIDIA customers like Meta and Google. Huang had said earlier this year that the mass production of Blackwell would resume in the fourth quarter, bringing in billions of dollars in revenue for the chipmaker. Huang noted the Blackwell design flaw was 100% the fault of his firm, clarifying that seven different types of chips were designed from scratch and had to be ramped into production at the same time for Blackwell.
4. Apple Inc. (NASDAQ:AAPL)
Number of Hedge Fund Holders: 184
Apple Inc. (NASDAQ:AAPL) is a consumer electronics firm. On November 4, DA Davidson analysts Gil Luria and Alex Patt penned an investor note to clients on AI, noting that Apple had still yet to show a real benefit yet from AI investments, but backing the tech firm to show material gains from AI investments in the next few quarters through Apple Intelligence.
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. On November 4, DA Davidson analysts Gil Luria and Alex Patt highlighted the firm in an investor note, stressing that the tech firm had achieved the best returns on its investments in artificial intelligence out of the Magnificent 6 in the latest round of earnings. The analysts claimed that unlike the other hyperscalers, who were renting out picks and shovels to customers who had yet to find much AI gold, Meta was finding its own gold in the form of 19% advertising growth on a 23% comp.
2. Microsoft Corporation (NASDAQ:MSFT)
Number of Hedge Fund Holders: 279
Microsoft Corporation (NASDAQ:MSFT) is a Washington-based technology company. Latest reports, published by news platform Axios on October 23, suggest that the tech giant has partnered with AI startup OpenAI to fund a $10 million AI local news project. The project would be operated by the Lenfest Institute based in Pennsylvania, and five US metro news organizations would be a part of it, including Chicago Public Media, The Minnesota Star Tribune, Long Island Newsday, The Philadelphia Inquirer, and The Seattle Times. Per the report, Microsoft and OpenAI would each contribute towards $5 million in funding for the project. Another $5 million would go towards selected newsrooms to experiment with generative AI projects.
1. Amazon.com, Inc. (NASDAQ:AMZN)
Number of Hedge Fund Holders: 308
Amazon.com, Inc. (NASDAQ:AMZN) operates as a technology conglomerate with core interests in the ecommerce business. Financial services company Societe Generale on October 23 released an investor note detailing that the rise of AI was driving new investments in nuclear energy and partnerships for power security. Per the note, almost all hyper-scalers were focused on energy security and demand was driving the nuclear momentum. Manish Kabra, the head of US equity strategy at Societe Generale, also underlined that hyper-scale data centers, such as those used by Microsoft, Google, and Amazon, were responsible for 60-70% of all data center energy use. Amazon has plans to neutralize all of its data center energy use with renewable power in the coming years. Last May, the tech giant secured a nuclear-powered data center in Pennsylvania to leverage clean energy from the Susquehanna Steam Electric Station.
While we acknowledge the potential of Amazon.com, Inc. (NASDAQ:AMZN) 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 Amazon.com, Inc. (NASDAQ:AMZN) but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: $30 Trillion Opportunity: 15 Best Humanoid Robot Stocks to Buy According to Morgan Stanley and Jim Cramer Says NVIDIA ‘Has Become A Wasteland’.
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