A high US inflation print has diminished hopes of interest rate cuts by the Federal Reserve, which triggered a downdraft in the US stock markets as the S&P 500 index fell 0.27% to 6051.97 on February 12th, led by share price declines witnessed by several of the magnificent seven companies.
Meanwhile, industry experts are forecasting that DeepSeek’s open-source nature and low fees could drive AI adoption and the development of real-life applications for the technology, which could enable Chinese firms to overcome US export limitations on their powerful chips. Furthermore, dozens of Chinese firms across industries are mulling the integration of DeepSeek’s AI model into their products and business operations.
“This development is very much aligned with the capability of Chinese AI chipset vendors,” said Lian Jye Su, a chief analyst at Omdia. “Chinese AI chipsets struggle to compete with Nvidia’s GPU (graphics processing unit) in AI training, but AI inference workloads are much more forgiving and require a lot more local and industry-specific understanding.”
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).
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10. Alpha Modus Holdings, Inc. (NASDAQ:AMOD)
Number of Hedge Fund Holders: N/A
Alpha Modus Holdings, Inc. (NASDAQ:AMOD) is a tech firm offering AI-powered retail and fintech products using patented technologies to optimize consumer engagement and in-store experiences to drive returns for brands and retailers.
On February 13th, the company, through its subsidiary Alpha Modus Corp., announced its partnership with CashX to deploy its new-age financial kiosks across 10,000 locations, including supermarkets in California and Colorado, which will translate to 150 million unique visits annually and generate $75 million in yearly ad revenue.
“This is a defining moment for Alpha Modus. We see our AI technology revolutionizing the self-service financial kiosk industry, creating an entirely new revenue stream while providing critical services to millions of consumers,” said William Alessi, CEO of Alpha Modus. “With projected advertising revenue alone reaching $75 million annually, we plan on delivering scalable, high-margin revenue growth for our investors during the deployment period. This deployment is intended to solidify our market leadership and position Alpha Modus as the backbone of AI-driven financial automation in retail.”
9. SEALSQ Corp (NASDAQ:LAES)
Number of Hedge Fund Holders: N/A
SEALSQ Corp (NASDAQ:LAES) provides digital security products, including data security, access control, anticounterfeiting, provisioning, and secure satellite IoT connectivity through its FIPS-certified semiconductors, managed Public Key Infrastructure (PKI), and quantum innovation. The firm’s Quantum Lab offers quantum-resistant secure microcontrollers to safeguard digital assets in the quantum computing era.
SEALSQ Corp (NASDAQ:LAES) today announced it is integrating WISeAI’s decentralized model into its quantum platform to build a secure and transparent AI system enhanced by quantum computing. The company believes this would facilitate secure data markets and ensure responsible development and deployment of AI solutions through verifiable AI mechanisms like federated learning and blockchain. SEALSQ Corp’s (NASDAQ:LAES) decentralization of AI will empower individuals and small businesses to partake in AI advancements, develop valuable solutions, and capture economic benefits. The company will further enhance security by integrating an ML tool called WISeAI.IO 2.0 into its quantum platform to track activities within a PKI) system and identify suspicious activities.
