We recently published a list of the 12 Best AI Stocks to Invest in According to Reddit. In this article, we are going to take a look at where Evolv Technologies Holdings Inc. (NASDAQ:EVLV) stands against other AI stocks to invest in according to Reddit.
Jensen Huang had previously estimated that practical quantum computing would be 15 to 30 years away, but he recently revised this timeline to 5 to 15 years. This shift reflected the company’s growing interest in quantum, which is likely influenced by recent relevant milestones in the tech sector, particularly the MAG7. These advancements focus on error correction and reducing noise in quantum chips, which is crucial for scaling quantum computers effectively. Jack Hidary, SandboxAQ CEO, joined CNBC’s ‘Power Lunch’ on March 20 to discuss his takeaways from these advancements. Hidary emphasized that the future lies in integrating GPUs with quantum computing rather than choosing one over the other.
Jack Hidary’s perspective on AI focuses on its transformative impact and the shift from consumer-focused applications to business-driven innovations. The conversation on CNBC highlighted that while technologies like flying cars and supersonic air travel have long been discussed without becoming adopted or profitable, AI is rapidly advancing and is poised to deliver tangible results. Over the past two years, consumer AI tools like ChatGPT have dominated attention, which users to generate essays, emails, and summaries with simple prompts. However, Hidary emphasized that the next phase of AI development will center on B2B applications, which he believes will drive profound changes across industries. According to him, B2B AI has the potential to revolutionize sectors such as pharmaceuticals by enabling the development of new medicines and diagnostics. In energy, AI can help optimize hydrocarbon value chains and create higher-value products. In automotive manufacturing, AI is being used not only for autonomous driving but also for lightweight vehicles and improving product designs.
Hidary stressed that this shift toward B2B AI represents a significant economic impact, as it addresses 80% of GDP compared to the limited scope of consumer AI. He views this transition as a pivotal moment for AI’s integration into critical industries, which promises substantial advancements in technology and economic growth in the coming years. Through these developments, Hidary envisions AI becoming a cornerstone of innovation across multiple domains, reshaping how businesses operate and deliver value.
Our Methodology
We first sifted through relevant threads to compile a list of the top AI stocks. We then selected the 12 AI stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q4 2024. The hedge fund data was sourced from Insider Monkey’s database which tracks the moves of over 900 elite money managers.
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 security team patrolling a public building with their advanced Evolv systems.
Evolv Technologies Holdings Inc. (NASDAQ:EVLV)
Number of Hedge Fund Holders: 19
Evolv Technologies Holdings Inc. (NASDAQ:EVLV) provides AI-driven weapons detection for security screening. Its Evolv Express system uses advanced AI to detect concealed weapons without requiring physical contact, while Evolv Insights offers real-time data and analytics for optimized security operations.
The company reported strong Q4 2024 growth which was driven by its AI-powered Evolv Express weapons detection system. The company deployed ~470 new multi-year subscriptions, which surpassed 6,000 units globally and added 60 new customers across various industries. This included significant expansion in education, where it served over 1,200 school buildings, and healthcare, where it served over 450 hospital buildings. The company also booked initial orders for its new AI-based bag screening solution, Evolv eXpedite.
Given these updates, Craig-Hallum increased Evolv Technologies Holdings Inc.’s (NASDAQ:EVLV) price target to $6.75, while maintaining a Buy rating. With $52 million in cash and no debt, the company reaffirms its outlook for positive Adjusted EBITDA by Q2 2025. This highlights the growing market adoption of its AI-driven security technology.
Overall, EVLV ranks 9th on our list of the best AI stocks to invest in according to Reddit. As we acknowledge the growth potential of EVLV, our conviction lies in the belief that AI stocks hold great promise for delivering high returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than EVLV 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.
