We recently compiled a list of the 10 AI Stocks Making Waves on Wall Street. In this article, we are going to take a look at where AppLovin Corporation (NASDAQ:APP) stands against the other AI stocks.
With the world making significant strides in artificial intelligence, some countries are concerned about the key figures leading these efforts. In the latest news, the Wall Street Journal reported that Chinese authorities advised the country’s top artificial intelligence entrepreneurs and researchers to avoid traveling to the United States.
According to the report, the authorities are concerned that Chinese experts could divulge important and confidential information about the country’s progress. They also fear that they could be detained and used as a “bargaining chip” in US-China negotiations.
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The report further revealed that those who decide to travel are instructed to report their plans before leaving. Moreover, they must also report on details like what they did and whom they met upon returning. DeepSeek founder Liang Wenfeng didn’t attend the AI summit in Paris in February, as per the report, while the founder of a major Chinese AI startup also canceled a planned U.S. trip last year, also due to instructions from Beijing.
In a similar effort, Meta has also fired at least 20 employees who leaked “confidential information outside the company”.
“We tell employees when they join the company, and we offer periodic reminders, that it is against our policies to leak internal information, no matter the intent. We recently conducted an investigation that resulted in roughly 20 employees being terminated for sharing confidential information outside the company, and we expect there will be more. We take this seriously, and will continue to take action when we identify leaks.”
-Meta spokesperson Dave Arnold tells The Verge exclusively.
Moves like these underscore the importance of privacy and confidentiality, especially in terms of progress in the world of artificial intelligence. Chinese President Xi Jinping has also been instructing top Communist Party officials to improve China’s overall security, particularly in cybersecurity and artificial intelligence.
“We should give top priority to defending the country’s political security”.
-Xi was quoted as having told other members of the governing Politburo.
For this article, we selected AI stocks by going through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds. The hedge fund data is as of Q4 2024.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A close-up of a mobile device, showing an advertiser reaching out to a consumer via a software-based platform.
AppLovin Corporation (NASDAQ:APP)
Number of Hedge Fund Holders: 95
AppLovin Corporation (NASDAQ:APP) provides a leading marketing platform powered by AI technology. On February 27, BTIG analyst Clark Lampen reiterated a “Buy” rating on the stock with an associated price target of $600.00. The rating aims to address the reports issued by short sellers Fuzzy Panda and Culper Research against AppLovin about it misrepresenting the benefits of its AI advertising platform.
Lampen asserted that the issues, such as the alleged fraudulent download activity, don’t impact the company’s performance. He further stated how the majority of download activities are preloads. These do not affect performance as revenue is generated through user engagement and spending within apps. Claims regarding mediation practices are also unfounded, noted the firm, stating that these practices are standard in the industry.
Overall APP ranks 7th on our list of the AI stocks making waves on Wall Street. While we acknowledge the potential of APP 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 time frame. If you are looking for an AI stock that is more promising than APP but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stock To Buy Now and Complete List of All AI Companies Under $2 Billion Market Cap.
Disclosure: None. This article is originally published at Insider Monkey.
