The year 2023 defined by artificial intelligence. advances in the technology have resulted in excitement across the stock market that has propelled many shares much, much higher. As exciting as 2023 has been in that regard, 2024 looks like it could be even more so. Thus, these are the AI stocks to end you’ll regret not buying soon.
Goldman Sachs believes that artificial intelligence will continue to evolve and move from a phase it characterizes as ‘excitement’ into a new phase marked by deployment.
I believe, along with many others, that the artificial intelligence sector will continue to be dominated by a few firms in 2024. That isn’t expected to change but growth is expected to continue and that should catalyze further investments therein at this point.
Nvidia (NVDA)
Nvidia (NASDAQ:NVDA) Is going to continue to be the most highly regarded AI stock in 2024. The company produces the most powerful chips for applications across the AI field that are, simply put, the best.
Nvidia knows it, the stock market knows it, and the companies that purchase Nvidia chips also know it. The result has been that companies across every industry have scrambled to secure Nvidia chips while the company can easily sell them for prices that boast an average price of $30,000.
Investors should buy Nvidia because its H100 chips are the industry standard. Whether it’s for the purpose of training large language models, application in data centers, or any other application, they’re the best. Other firms are scrambling to improve on those chips but the H100 chip should continue to dominate. Beyond that, and video also recently announced the release of its H200 chip.
The current consensus is that they will be the best chips for things like Edge computing, iot, and all other things artificial intelligence. That strongly suggests that Nvidia is going to continue to make just as much sense in 2024 as it did in 2023. In short, invest.
AMD (AMD)
AMD (NASDAQ:AMD) Is usually the second name that you’ll hear in connection with AI stocks in relation to the chip sector. the company continues to play second fiddle to Nvidia and test after Test shows that it simply isn’t quite as technologically advanced as Nvidia chipwise.
yet at the same time, AMD is doing a lot that is noteworthy which has also propelled that shares higher of late. Most of that progress relates to its MI300 chips. Some analysts have suggested that those chips aren’t particularly important and don’t pose a threat to Nvidia’s dominance. However, the reaction of leading firms That account for major purchases of those ships suggests otherwise.
Many of the largest firms across Silicon Valley have already stated that they will purchase amd’s m1300 chips as an alternative to Nvidia’s h100 chips. It’s a strong signal that those firms believe that amd’s offering is a strong alternative. Further, it’s also a strong signal that those same firms are bristling at what many believe are exorbitantly priced h100 chips. Overall, it’s a great signal for those who are considering buying AMD shares in December and beyond.
Microsoft (MSFT)
Microsoft (NASDAQ:MSFT) Was one of the clearest winners throughout 2023 as artificial intelligence became reality. The company developed a strong early lead among Silicon Valley firms due to its large investment in OpenAI.
Microsoft is a massive company that engages in a wide variety of businesses and so it’s not easy to say that it strictly uses artificial intelligence for one application. it doesn’t. However, it’s abundantly evident that Microsoft’s application of artificial intelligence to its dominant products and services will only make them more so.
Take for example, Copilot. Co-pilot is the application of artificial intelligence to the company’s leading productivity Suite that includes Excel, Powerpoint, Word and Teams. My colleague, Charles Munyi, recently pointed out a few important statistics in that regard. More than 40% of Fortune 100 firms are currently using Copilot. That’s a strong indication that Microsoft has yet again corner to market. further, Satya Nadella is on record stating that he expects Microsoft’s The revenues to double by 2030 potentially reaching the $500 billion mark. Clearly, Microsoft and the rest we mentioned all make up the AI stocks to end you’ll regret not buying soon.
On the date of publication, Alex Sirois did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
