We recently compiled a list of the 10 Trending AI Stocks on Wall Street’s Radar. In this article, we are going to take a look at where Meta Platforms, Inc. (NASDAQ:META) stands against the other AI stocks.
In the latest news in AI, SoftBank Group CEO Masayoshi Son said that he has agreed with OpenAI CEO Sam Altman to set up a joint venture in Japan. The venture will be offering artificial intelligence services to corporate customers. Known as SB OpenAI Japan, the joint venture will be owned by OpenAI together with a company established by SoftBank and its domestic telecoms arm. This move by Son’s company aims to deepen relations with OpenAI, which has been looking at investing around $15 billion to $25 billion in the company. The company has also committed $15 billion to Stargate, a joint venture with OpenAI and Oracle.
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With AI efforts such as the Stargate initiative and advancements coming from companies such as DeepSeek and Alibaba, the world of AI is shaking up and moving pretty fast. In response, OpenAI is considering a shift to its closed-source development approach. DeepSeek’s release of a lower-cost open-source AI model has led OpenAI to rethink how to move forward, as reported by Seeking Alpha on February 1st citing OpenAI executives’ comments during a Reddit “Ask Me Anything” event. CEO Sam Altman said during the event that OpenAI needs to “figure out a different open-source strategy”.
Altman further added that not everyone shares the same view and that figuring out the strategy is “not our current highest priority”. OpenAI Chief Product Officer Kevin Weil even said during the same event that the company was considering open-sourcing older AI models. Here is what Chief AI Scientist Yann LeCun on OpenAI models:
“DeepSeek has profited from open research and open source. … They came up with new ideas and built them on top of other people’s work,” LeCun wrote. “Because their work is published and open source, everyone can profit from it. That is the power of open research and open source.”
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.
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).
A team of developers working in unison to create the company’s messaging application.
Meta Platforms, Inc. (NASDAQ:META)
Number of Hedge Fund Investors: 235
Meta Platforms, Inc. (NASDAQ:META) is a global technology company. On January 31, Jyoti Mann and Hugh Langley from Business Insider reported that Meta CEO Mark Zuckerberg told staffers to brace for an “intense year” ahead. Addressing several policy changes related to fact-checking and programs for diversity, equity, and inclusion, he emphasized a sense of urgency for the year. He also told the staff that he expects to have a clearer sense of the company’s trajectory by the end of 2025, particularly artificial intelligence.
“This is a marathon, not a sprint. But honestly, this year feels a little more like a sprint to me”.
– As reported by Business Insider.
Additionally, he predicted that 2025 would be the year its “highly intelligent and personalized” digital assistant reached 1 billion users.
“I think whoever gets there first is going to have a long-term, durable advantage towards building one of the most important products in history,” Zuckerberg said, as reported by Business Insider.
He also said that this year may be when Meta starts seeing AI agents take on work, including writing software. Zuckerberg said it was “hard to know” whether this would eventually lead to job cuts, but even if it leads to some roles becoming redundant, it could lead to hiring more engineers who can leverage artificial intelligence to be more productive.
Overall META ranks 1st on our list of the AI stocks on Wall Street’s radar. While we acknowledge the potential of META 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 META 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.
