Artificial Intelligence (AI) is already transforming diverse industries, including healthcare, energy, cybersecurity, and communications by boosting productivity, enhancing engagement with clients, and significantly lowering operational overheads.
However, experts believe AI today hasn’t evolved enough to guide scientific processes. As tech giants race to launch AI co-scientist tools to help scientists develop hypotheses and research plans and unravel new knowledge, experts opined that these tools fall short of their promises.
“We’ve seen throughout history that some of the most important scientific advancements, like the development of mRNA vaccines, were driven by human intuition and perseverance in the face of skepticism,” said KhudaBukhsh, assistant professor of software engineering at Rochester Institute of Technology. “AI, as it stands today, may not be well-suited to replicate that.”
While some experts believe these tools could be a good starting point for researchers, the lack of details remains worrisome, raising questions about their potential.
“Those are things that various existing tools are claiming to do, but those are not jobs that I would personally leave up to current AI,” added Lana Sinapayen, an AI researcher at Sony Computer Science Laboratories in Japan. She believes that similar tools focus on the wrong kind of scientific legwork.
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 over 1000 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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
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9. Amesite Inc. (NASDAQ:AMST)
Number of Hedge Fund Followers: 1
Amesite Inc. (NASDAQ:AMST) leverages proprietary AI in its NurseMagic solution to optimize documentation workflow, enhance patient communication, and save time for nurses and caregivers. The HIPAA-compliant B2C and B2B solutions help improve operational efficiency, care quality, and overall financial performance in the home care, hospice, and healthcare segments.
On March 5th, Amesite Inc. (NASDAQ:AMST) announced the adoption of its hospice documentation tool, Hospice Notes, in NurseMagic to assist care providers in streamlining accurate documentation for fast and secure reimbursement of charges. The company claims that NurseMagic sales have jumped by over 3,000% in the past three months after it ramped enterprise sales nationally.
“We specifically tuned our models to serve the hospice sector with specialized hospice notes, that focus on capturing patient decline. This function is essential for proper documentation and reimbursements, and our customers tell us that this level of detail not only improves compliance but also saves administrative workload, allowing staff to focus on client care.”
-said Sai Nittala, Senior AI Manager at Amesite Inc.
8. Aurora Mobile Limited (NASDAQ:JG)
Number of Hedge Fund Holders: 1
Aurora Mobile Limited (NASDAQ:JG) is a supplier of mobile big-data solutions for app developers. The company’s developer services provide core in-app functionalities used by leading internet firms and consumer brands. The company collects anonymous device-level mobile behavioral data, which is then structured and encrypted for AI-powered modeling exercises. It also applies AI and ML to its data repositories to refine its data solutions.
On March 5th, Aurora Mobile Limited (NASDAQ:JG) announced that its push notification solution, JPush, has partnered with Shandong Dazhong Newspaper Group’s Bandao News App to develop new news delivery experiences, like intelligent interaction with users and real-time delivery with no lag. JPush’s user labeling system and AI algorithm enable strong support for accurate content distribution. Soon, the Baodao News app will further utilize JPush’s cross-device capabilities to deliver more enhanced user experiences.
7. ConnectM Technology Solutions Inc. (NASDAQ:CNTM)
Number of Hedge Fund Followers: 3
ConnectM Technology Solutions Inc. (NASDAQ:CNTM) combines energy assets with its AI-powered tech platform, service networks, and strategic collaborations to provide clean energy solutions for residential, light commercial buildings, and all-electric OEMs.
On March 5th, ConnectM Technology Solutions Inc. (NASDAQ:CNTM) announced the expansion of its Building Electrification segment into Europe, the Middle East, and Asia due to growing requirements for sustainable energy solutions. Amid rising energy prices and labor shortages, the company sees a market opportunity to deploy AI-enabled solutions for optimal heating, cooling, and energy distribution.
“Expanding ConnectM’s presence into international markets represents a transformational growth opportunity for the Company. We are well positioned to capitalize on rising demand for energy-efficient solutions and expect our international operations to play a pivotal role in our long-term value creation strategy.”
-said Bhaskar Panigrahi, Chairman and CEO of ConnectM Technology Solutions Inc.
6. Wipro Limited (NYSE:WIT)
Number of Hedge Fund Holders: 18
Wipro Limited (NYSE:WIT) is a multinational company that offers IT and consulting services and business solutions worldwide for a range of sectors, including finance, healthcare, and manufacturing.
On March 5th, Wipro Limited (NYSE:WIT) announced the launch of an AI-first managed services platform, TelcoAI360, developed in partnership with Wipro’s AI partner ecosystem, to help telcos deploy differentiated technology services at scale and speed while ensuring enhanced customer experiences at lower costs. The tool integrates Wipro Limited’s (NYSE:WIT) domain expertise with AI-powered tools and solutions, enabling communication service providers (CSPs) to markedly minimize operational overheads by streamlining processes, automating workflows, and managing resources efficiently. Furthermore, TelcoAI360 will help with faster time to market for new solutions as well as offer better network performance and AI-powered security measures for data protection.
“The launch of TelcoAI360 marks a significant milestone in our commitment to empowering telcos with future-ready network management solutions. Leveraging our AI-powered platforms and deep domain expertise, we are delivering an industry-first solution that redefines telecom operations with automation, security, and AI at scale.”
-said Lalit Kashyap, sector head of Communications, Media and Networks at Wipro Limited.
5. Cognyte Software Ltd. (NASDAQ:CGNT)
Number of Hedge Fund Holders: 20
Cognyte Software Ltd. (NASDAQ:CGNT) offers investigative analytics software to governments and diverse organizations. It helps clients with actionable intelligence to accelerate and improve the effectiveness of investigations and decision-making, neutralize and overcome threats to national security, and address criminal activities.
On March 5th, Cognyte Software Ltd. (NASDAQ:CGNT) announced a collaboration with Microsoft to offer a secure and cloud-based deployment option for its decision intelligence platform, NEXYTE. The company will leverage Microsoft Azure to offer NEXYTE with flexible deployment models, enabling customers to select between on-premises and cloud-based environments based on their requirements. With Azure, NEXYTE clients gain access to advanced cloud services, like Azure AI Document Intelligence and Azure AI Vision to automatically process and analyze unstructured data and integrate insights with other data sources to accelerate analysis of complex data workflows and boost accuracy for successful investigative outcomes.
“This relationship brings cloud-based agility and innovation to the field of investigative analytics, underscoring Cognyte and Microsoft’s shared commitment to advancing AI-powered analytics. By integrating Azure’s robust AI Services capabilities, NEXYTE is positioned as a future-ready solution that enables organizations to tackle complex, data-intensive challenges with improved speed, security, and flexibility.”
-said Vinod Valloppillil, Director of Product at Azure AI.
4. Radware Ltd. (NASDAQ:RDWR)
Number of Hedge Fund Holders: 22
Radware Ltd. (NASDAQ:RDWR) combines AI with its cybersecurity and application delivery solutions to help customers track and mitigate cyber threats, including DDoS attacks, malicious bots, and web application vulnerabilities, across cloud, on-premises, and data center environments. The company’s “EPIC-AI” technology incorporates layers of AI features across its product suite to secure applications and optimize costs.
On March 5th, Radware Ltd. (NASDAQ:RDWR) signed a managed security service provider (MSSP) agreement with CHT Security, a subsidiary of Taiwan’s largest telco Chunghwa Telecom Co. The agreement will enable CHT Security to utilize Radware Ltd.’s AI-powered Cloud Application Protection Services and DefensePro suite to enhance its product portfolio, offer customers next-gen application security, and protect them against evolving cyber attacks.
“We are excited to expand our long-standing relationship with CHT Security. It is becoming increasingly difficult for already short-staffed security teams to defend against a threat landscape that is constantly evolving with more frequent and complex attacks. Through our joint efforts, we can not only help organizations solve these challenges and increase the security around their critical assets, but also create a win-win for the Taiwan market.”
-said Yaniv Hoffman, VP of sales for APAC at Radware Ltd.
3. RingCentral Inc. (NYSE:RNG)
Number of Hedge Fund Followers: 36
RingCentral Inc. (NYSE:RNG) provides AI-powered business communications, contact centers, video, and hybrid event services to empower organizations with conversational intelligence for better customer and employee engagement and improved business outcomes.
On March 5th, RingCentral Inc. (NYSE:RNG) announced a partnership with cloud and fiber-based network solutions provider Cox Business to introduce next-gen communications services to clients. The partnership will combine AI-powered communications platforms with high-speed fiber connectivity on the newly-launched Cox Business Connect with RingCentral solution to help businesses improve work productivity, streamline operations, and deliver advanced customer experiences. The solution offers clients access to an enterprise cloud communications platform featuring video and audio calls, chat, SMS, and fax options in a single application. Meanwhile, the Cox Business Contact Center with RingCentral, to be launched later this year, will help businesses establish and operate contact centers by equipping them with AI-based omnichannel capabilities, AI quality management, and CRM integrations.
“At RingCentral, our mission has always been to empower businesses of all sizes with innovative solutions that transform how they communicate, collaborate, and serve their customers. By offering AI-first, cloud-based unified communications and contact center capabilities on a single, seamless platform, we unlock the true power of integrated workflows that improve efficiency and elevate customer and employee experiences. We are thrilled to partner with Cox Business to deliver AI-powered business communications solutions that help organizations modernize their systems, streamline operations, and achieve greater business outcomes.”
-said Vlad Shmunis, Founder and CEO of RingCentral Inc.
2. Carrier Global Corporation (NYSE:CARR)
Number of Hedge Fund Followers: 48
Carrier Global Corporation (NYSE:CARR) is a leader in offering intelligent climate and energy solutions.
On March 5th, Carrier Global Corporation (NYSE:CARR) announced that it will collaborate with Google Cloud to improve grid flexibility and support smarter energy management. The initiative will combine Carrier’s battery-enabled HVAC technology—delivered through its Home Energy Management System solutions—with Google Cloud’s AI-based analytics and WeatherNext AI models to create intelligent solutions for residential HVAC energy clients. The partnership will help the energy solutions provider balance energy supply and demand across the grid as well as optimize HVAC operation for higher efficiency, cost savings, and greater availability.
“Our energy systems must evolve to be more intelligent, flexible and economically efficient.By integrating Carrier’s HEMS technology with Google Cloud’s AI and analytics, we aim to help increase the efficiency of existing energy infrastructure—reducing grid congestion, unlocking greater energy utilization and contributing to economic growth.”
-said Hakan Yilmaz, chief technology and sustainability officer at Carrier Global Corporation.
1. Nebius Group NV (NASDAQ:NBIS)
Number of Hedge Fund Followers: 66
Nebius Group NV (NASDAQ:NBIS) is a tech firm that builds AI infrastructure to support the rapidly growing AI industry. They develop full-stack infrastructure, including GPU clusters and AI-centric cloud platforms, using proprietary software architecture and in-house-built hardware to support heavy AI workloads.
On March 5th, Nebius Group NV (NASDAQ:NBIS) announced the construction of a new data center in New Jersey with a capacity of up to 300 MW as part of plans to expand its footprint in the US markets and become a leading AI infrastructure provider. The company also announced incremental data center capacity additions in Kansas City and a new colocation deployment in Keflavik, Iceland as it builds out more AI infrastructure across Europe. These additions will significantly contribute to the firm’s planned expansion of installed capacity in the US and Europe in 2025.
“Our first major data center in the US clearly advances our strategic goal of expanding our footprint in the American market as we continue building Nebius into a leading global AI infrastructure provider. This site has the potential to host dedicated large-scale instances, and we have considerable flexibility to accelerate our deployment plans as and when we need to. With New Jersey, we now have secured expansion capacity to over 400 MW. And we are actively reviewing options to extend this pipeline further as we seek to grow aggressively to multiples of where we are today.”
-said Arkady Volozh, founder and CEO of Nebius Group NV.
While we acknowledge the potential of Nebius Group NV (NASDAQ:NBIS) 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 time frame. If you are looking for an AI stock that is more promising than NBIS but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stock To Buy Now and Complete List of All AI Companies Under $2 Billion Market Cap.
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