Top 10 AI Stocks to Watch Ahead of Potential Market Correction

8. STMicroelectronics N.V. (NYSE:STM)

Number of Hedge Fund Holders: 18

STMicroelectronics N.V. (NYSE:STM) designs, develops, manufactures, and sells semiconductor products. It offers automotive integrated circuits (ICs), discrete and power transistor products and industrial application-specific integrated circuits (ASICs). On January 13, TD Cowen downgraded the stock to a Hold and cut the price target to $25 from $32. The cut came amid growing concerns about cyclical headwinds in the semiconductor industry.

Amid the cut, STMicroelectronics N.V. (NYSE:STM) has moved to strengthen its long-term prospect by unveiling the STM32N6 microcontroller for enhanced machine learning capabilities. The microcontroller is designed to deliver 600 times more machine-learning performance than current high-end STM32 MCUs, enabling advanced AI applications in consumer and industrial products. While the microcontroller has been available to select customers, it is now ready for high-volume production and use in consumer and industrial sectors.