We recently compiled a list of the 15 AI News Updates That Broke The Internet. In this article, we are going to take a look at where Pure Storage, Inc. (NYSE:PSTG) stands against the other AI stocks that broke the Internet recently.
With Trump taking in the reigns soon, steps toward overhauling the US policy have begun. President-elect Trump said on Thursday that he is appointing former Pay Pal Chief Operating Officer David Sacks as his “White House A.I. & Crypto Czar”.
“David will guide policy for the Administration in Artificial Intelligence and Cryptocurrency, two areas critical to the future of American competitiveness. David will focus on making America the clear global leader in both areas,”
-Trump said in a post on his social-media site Truth Social.
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Officials such as the crypto czar, a title that is not known to be official, along with other officials in Trump’s incoming administration such as the chairs of the Securities and Exchange Commission and Commodity Futures Trading Commission, are anticipated to reshape U.S. policy on digital currency along with a newly created crypto advisory council. lad Gil, an entrepreneur, stated that the choice of Sacks is a “strong move” in a post on X. OpenAI CEO Sam Altman also congratulated him.
In other news, OpenAI has debuted a “research grade” version of its main artificial intelligence (AI) model. The ChatGPT Pro is a $200-per-month plan that includes unlimited access to the company’s smartest model, OpenAI o1, as well as to o1-mini, GPT-4o and Advanced Voice.
“As AI becomes more advanced, it will solve increasingly complex and critical problems. It also takes significantly more compute to power these capabilities”.
-OpenAI
ChatGPT Pro also includes o1 pro mode, a version of o1 that uses more compute for thinking harder and provides even better answers to the hardest problems. OpenAI also expects to add more powerful, compute-intensive productivity features to this plan in the future. Moreover, the company announced that it is awarding 10 grants of ChatGPT Pro to medical researchers at leading institutions in the U.S. to help drive meaningful progress in fields that benefit humanity.
Artificial intelligence is also shaping the healthcare industry. As per a recent study by Accenture, AI-driven healthcare has the potential to save up to $150 billion annually by 2026 in the US. This is done by reducing administrative costs, automating patient education, and improving adherence to care plans. In particular, AI-powered assistants can provide essential, 24/7 support. In the latest news, researchers from Germany and the US have developed a deep learning framework for automated volumetric body composition analysis using whole-body MRI. Published in eBioMedicine, the study validated this approach and demonstrated its potential to predict all-cause mortality in a large Western population.
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 closeup of a computer monitor displaying a complex software interface used in data protection services.
Pure Storage, Inc. (NYSE:PSTG)
Number of Hedge Fund Holders: 31
Pure Storage, Inc. (NYSE:PSTG) offers advanced data storage solutions that have the potential to support artificial intelligence workloads. On December 4, Piper Sandler upgraded Pure Storage (NYSE:PSTG) from Neutral to “Overweight” with a price target of $76, up from $56. The advisory told investors in a research note that the company’s fiscal Q3 results were better than expected given traditional sales, but lead metrics struggled.
However, its “significant” design win with a top-four cloud hyperscaler “removes risk and creates a catalyst for upside ahead”. The firm said that the “game changer” opportunity with the hyperscaler alone represents a $500M opportunity in 2026, with a potential for more hyperscalers coming in the future. Piper further said that flash storage is gaining momentum, particularly in the cloud and AI sectors. The company’s offerings are carving out a competitive edge here. “The narrative shifts to Cloud&AI over STaaS”, and that Pure Storage’s shift away from its Storage-as-a-Service (STaaS) transition has effectively eradicated a revenue headwind.
Overall PSTG ranks 9th on our list of the AI stocks that broke the Internet recently. While we acknowledge the potential of PSTG 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 PSTG 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.
