These 10 Companies Led Gains on Wednesday

1. Arm Holdings plc (NASDAQ:ARM)

Shares of Arm Holdings plc (ARM) soared by 15.93 percent to close at $179.93 apiece following announcements from its chief executive about its role in the massive artificial intelligence Stargate projects.

During an interview with CNBC, Arm Holdings CEO Rene Haas announced that the financial details for the Stargate project of the government are being finalized.

He also underscored that SoftBank’s CEO Masayoshi Son remained enthusiastic about SoftBank’s investment in Arm Holdings.

Arm will be a direct recipient of Project Stargate, which is expected to rake in billions of dollars in private investment in the AI industry, alongside its partner, Oracle.

Project Stargate will, in part, help fund the building of Oracle AI data centers—good news for Arm, whose technology is featured heavily in the servers that fill these data centers.

While we acknowledge the potential of ARM 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 timeframe. If you are looking for an AI stock that is more promising than ARM but 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.