Wall Street Analysts Can’t Stop Talking About These 10 AI Stocks

2. Meta Platforms Inc (NASDAQ:META)

Number of Hedge Fund Investors: 235

Mizuho said in a latest note that Meta Platforms Inc (NASDAQ:META) is one of the companies that are the leaders in monetizing generative artificial intelligence as 2025 approaches.

“While GenAI is still in nascent stages of transforming business processes at scale, following a somewhat slow beginning to 2024 we have seen more notable progress towards enterprise adoption over the past few months,” Mizuho analysts, led by Gregg Moskowitz, said in the report.

“Customers in various sectors are exploring the use of GenAI for a variety tasks, be it automating software development through AI-driven code generation, optimizing marketing strategies with high-quality customized content, or enhancing user experiences through conversational AI applications,” he added.

Mizuho highlighted that companies heavily investing in AI research and development will play a key role in leading the GenAI space. Meta Platforms is part of this list.

Alger Spectra Fund stated the following regarding Meta Platforms, Inc. (NASDAQ:META) in its Q3 2024 investor letter:

“Meta Platforms, Inc. (NASDAQ:META) operates the world’s largest social network, with over 3 billion monthly active users. The company generates more than 95% of its revenue from advertising, evenly split between North America and international markets. During the quarter, shares contributed to performance following the release of strong fiscal second quarter operating results, with revenues and earnings beating analyst estimates. Management also raised their fiscal 2024 revenue guidance, citing improved advertising monetization. CEO Mark Zuckerberg stated that AI has played a key role in these successes, as the company is leveraging AI to enhance targeting, measurement, ranking, and ad delivery. Higher user engagement, driven by video ranking, content recommendations, and single video views, has also supported growth. Additionally, the optimization of ad placements within videos and automation of ad campaigns are further boosting monetization.”