Top 10 AI Stocks to Watch: Latest News and Ratings

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1. NVIDIA Corporation (NASDAQ:NVDA)

Number of Hedge Fund Holders: 193

NVIDIA Corporation (NASDAQ:NVDA) produces some of the most advanced chips, systems, and software for the AI factories of the future. On Friday, December 13, Mizuho reiterated Nvidia as “Outperform”, stating that it is sticking with its rating on Nvidia. According to the firm, even though several technology companies will adopt and utilize generative AI in their businesses, the real winners are going to be those that are “AI-first”. The analysts also stated that the growing focus on generative AI and its significant power demands could lead to a rise in modular data centers, further creating opportunities for companies like Nvidia.

“While we expect countless tech vendors will leverage core Generative AI technologies to benefit their businesses (to varying degrees), the technology companies that have invested heavily in developing their internal AI research and development teams and consider themselves AI-first companies will be among the big players pushing the boundaries of innovation”.

-Mizuho

While we acknowledge the potential of NVDA 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 NVDA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

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