The artificial intelligence (AI) boom is far from over.
For example let’s look at Nvidia (NASDAQ:NVDA), where CEO Jensen Huang still believes his stock is wildly undervalued. In fact, NVDA just announced it would buy back another $25 billion of its shares. Even better, the CEO expects the AI boom to last well into next year, creating a big opportunity for our list of AI stocks under $10 below.
Even billionaire hedge fund manager, Ken Griffin is betting big on AI, doubling his stake in giants like Microsoft (NASDAQ:MSFT) and Amazon (NASDAQ:AMZN). Plus, Goldman Sachs says generative AI could contribute about $7 trillion to the global economy. Even Ark Invest says AI software revenue could explode to $14 trillion by 2030.
In short, the AI boom is just heating up. If you want to create a substantial AI sector in your portfolio, consider these unbelievably hot AI stocks under $10 today.
Lantern Pharma (LTRN)
Lantern Pharma (NASDAQ:LTRN) traded around $4.55 on Aug. 16, and currently, it’s up slightly at $4.78. LTRN could potentially retest its high of $6.20, thanks to the company’s use of AI in drug development.
In addition, the U.S. FDA just cleared the company’s Phase 1 testing of its drug candidate LP-184 for the treatment of cancerous solid tumors. These include advanced pancreatic cancer, recurrent high-grade gliomas/glioblastoma, metastatic brain and central nervous system cancers, and other solid tumors. The trial is expected completion date is the first half of 2024.
Nerdy Inc. (NRDY)
After hitting a high of $5.37, Nerdy (NYSE:NRDY) now trades at $4.39 and could quite possibly see higher highs.
The company operates an online platform for live learning. Its CEO, Chuck Cohn, bought about $30 million of stock over the last year. Earnings have been solid, too. In Q2, the company posted revenue of $48.8 million, which came in above the high-end of its range of $45 million to $47 million. That was also up about 15% year over year.
As for guidance, the company expects to post revenue of $38 million to $40 million, which is 23% growth at the midpoint. For the full year, it just raised its revenue targets from $193 million, to $200 million, to $196 million, and finally to $200 million. This represents 22% growth at the midpoint. In short, NRDY still has plenty of upside potential.
SoundHound AI (SOUN)
Finally, we can take a look at SoundHound AI (NASDAQ:SOUN). The company is working toward installing voice assistants into most vehicles, which has led them to work within the auto industry space.
Progress seems to be coming soon. For one, Wedbush analyst Dan Ives recently assigned an outperform rating on the stock, with a $7 price target.
“With AI getting more eyes than ever and creating an expanding TAM, SoundHound is well-positioned to capitalize on the demand for AI chatbots with more use cases being provided every day while expanding its voice-enabled ecosystem to accelerate growth,” Ives told TipRanks.com
Next, the stock appears to have priced in a good deal of negativity. After falling from about $5 to a low of $1.80, it appears the stock caught strong support dating back to March. From a current price of $2.32, it’s hopeful that SOUN stock will refill its bearish gap around $3.25.
On the date of publication, Ian Cooper did not hold (either directly or indirectly) any positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
