We recently published a list of 10 AI News And Ratings on Wall Street’s Radar. In this article, we are going to take a look at where NextEra Energy, Inc. (NYSE:NEE) stands against other AI news and ratings on Wall Street’s radar.
The launch of China’s DeepSeek AI app is prompting investors to question top AI US companies about their high capital spending over the years and negligible returns to show for it. Founded by former hedge fund manager Liang Wenfeng, DeepSeek’s r1 AI model is emerging as an alternative to ChatGPT’s o1 and Anthropic’s Claude AI models.
Furthermore, the Chinese company developed the open-source r1 AI model at a fraction of the costs for ChatGPT. It is estimated that the DeepSeek r1 model is 20 to 50 times more affordable to use than OpenAI’s o1 model, depending on the task.
Despite the lack of the latest GPUs and massive investments due to US export controls, DeepSeek achieved a significant milestone through innovative resource optimisation and maximizing software potential.
“DeepSeek’s r1 is an impressive model, particularly around what they’re able to deliver for the price,” OpenAI CEO Sam Altman said on X.com. “But mostly we are excited to continue to execute on our research roadmap and believe more compute is more important now than ever before to succeed at our mission.”
As DeepSeek continues to disrupt the global tech sector, companies across industries continue to achieve transformative breakthroughs. This article details the latest analyst stock ratings and upgrades on trending AI companies involved in quantum computing, renewable energy, biotech, AI cloud, and automotive firms.
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.
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 wind turbine, its blades spinning to generate clean renewable energy.
NextEra Energy, Inc. (NYSE:NEE)
Number of Hedge Fund Holders: 17
NextEra Energy, Inc. (NYSE:NEE) is a leading renewable energy company boasting nearly 72GW of generating capacity and offers electricity to millions of Americans via its subsidiaries. The company announced partnering with GE Vernova (NYSE:GEV) to build natural gas-fired plants nationwide to power AI data centers. NextEra Energy, Inc. (NYSE:NEE) is also planning to reopen its shuttered 600MW Duane Arnold nuclear plant to match the power demand for AI factories and modern data centers.
However, on January 27th, Argus analyst Marie Ferguson trimmed the firm’s price target to $86 from $90 while maintaining a “Buy” stock rating following the Q4 report. The brokerage stated that the lower target price reflects the correction following the 2024 sector momentum in response to interest rates. Overall, analysts maintain a positive outlook for NextEra’s (NYSE:NEE) prospects in Florida, given the US state’s growing economy and population growth.
Overall, NEE ranks 9th on our list of AI news and ratings on Wall Street’s radar. While we acknowledge the potential of NEE 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 NEE 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.