We recently published a list of Top 11 AI News and Ratings You Should Take a Look At. In this article, we are going to take a look at where International Flavors & Fragrances Inc. (NYSE:IFF) stands against other top AI news and ratings you should take a look at.
AI is experiencing a shift from massive, resource-intensive models to more efficient and accessible alternatives. Sakana AI’s CEO, David Ha, discussed how this transition is shaping the future of AI, highlighting the role of compact models and the broader impact on computing demand on Bloomberg: The Asia Trade. As AI development diversifies, the market is moving away from reliance on a single dominant player, and companies are exploring innovative ways to optimize performance.
The Growing Role of Efficient AI Models in Everyday Technology
David Ha shared his perspective on the AI industry, emphasizing how models like China’s DeepSeek are fueling demand for GPUs. He explained that the traditional approach has been to develop increasingly large AI models requiring significant investments and energy, but companies like Sakana AI are focusing on making AI faster and more efficient. One example is Tiny Swallow, a compact AI model built using Sakana AI’s Tate distillation method, which maintains strong performance despite being 100 times smaller than large models. This model can run entirely on a smartphone or web browser without relying on an API, reflecting a broader trend toward efficient AI solutions in 2025.
Ha compared the current landscape of AI to early computing, where large mainframes eventually gave way to more accessible, optimized technologies like PCs and smartphones. He believes AI will follow a similar path, with smaller, specialized models becoming more widespread. He also expects a future where multiple AI models, including those from DeepSeek, Meta’s Llama, and Sakana AI, will be used across different applications rather than a single dominant player controlling the market.
When asked about Nvidia, Ha dismissed concerns that smaller, efficient AI models could reduce demand for GPUs. Instead, he argued that these advancements will expand GPU usage, especially for inference tasks rather than just training, and attract a more diverse global user base. He believes that the company is well-positioned to benefit from this growing demand for AI compute power.
For this article, we selected AI stocks by reviewing news articles, stock analysis, and press releases. We listed the stocks in ascending order of their hedge fund sentiment taken from Insider Monkey’s database of 900 hedge funds.
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A lab technician analyzing natural food protection ingredients to ensure quality products.
International Flavors & Fragrances Inc. (NYSE:IFF)
Number of Hedge Fund Holders: 52
International Flavors & Fragrances Inc. (NYSE:IFF) develops and sells ingredients for flavors, fragrances, health products, and pharmaceuticals worldwide.
On February 4, IFF (NYSE:IFF) introduced ScentChat, an AI-powered research tool designed to improve fragrance development by integrating real-time consumer feedback. The app connects with popular messaging platforms like WhatsApp and Facebook Messenger, allowing direct interaction between consumers and perfumers. Using advanced AI and Natural Language Processing, ScentChat analyzes feedback to generate insight reports, helping formulators refine scents efficiently. The tool streamlines consumer research, making the process more cost-effective and scalable while supporting collaboration between fragrance creators and consumers. It also marks a significant step in applying AI to perfumery.
Overall, IFF ranks 3rd on our list of top AI news and ratings you should take a look at. While we acknowledge the potential of IFF as an investment, our conviction lies in the belief that 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 IFF but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.