There are still many growth opportunities for investors within the AI industry, especially if you look at the beaten track.
It is undeniable that artificial intelligence technology (AI) has made huge progress in recent years. But the companies that had it doing it only scratch the surface of the underlying opportunity. Indeed, research on the priority in industry analysis provides that the global AI market will increase at an annualized rate of almost 20% to 2034.
With these rapid growth prospects as a backdrop, here are three of the best artificial intelligence actions to buy right now, while they are all negotiating at a reduced price.
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1. Holdings Arm
When conversations turn to technological companies with the greatest potential for the profit of AI, Arm holdings (ARM 2.13%)) is one of the least frequently mentioned. Do not be fooled, however: it will play an essential role in the future of artificial intelligence.
ARM is a semiconductor company – in a way. He doesn’t make tokens. On the contrary, he designs fleas and flea components, then dismisses these conceptions to more familiar flea companies that can use them unchanged, or modify them to adapt to their objectives. These manufacturers of fleas themselves often do not hold their manufacturing functions at third-party foundries.
You may regularly use a smartphone, a computer or other consumption technology with an ARM -based chip without even realizing it, in fact. From its last quarter finished, the company generated on the order of $ 4 billion in high margin income per year.
But what is specifically ARM a large choice of stock of artificial intelligence (in addition to its decline at 20% of its February peak)?
When AI was in its infancy, the amount of electricity used by equipment was not a great concern – engineers were just trying to understand how to operate technology. Now that technology is proven and that the dominant current, however, the engineers are struggling with the fact that the platforms of artificial intelligence have very and very, very hungry for power. According to a Goldman Sachs (GS 0.50%)) The study, by 2030, the current growth of AI data centers will increase the amount of electrical energy drawn by data centers in the world by 165% compared to what it was in 2023.
These are not only the data centers. Fleas in compatible smartphones AI also consume an unusual quantity of energy, draining the loads of batteries at an annoying rate.
Well, the conceptions of Arm chips are built from zero to be energy -fed. AmazonThe arm -based graviton processor uses 60% less electricity than comparable fleas; The Axion chip based on Google’s arm also requires 60% less power than comparable processors.
The importance of this competitive advantage is not always hierarchical in an environment where the speed of treatment, capacity and performance often occupy the front of the scene. There is a reason, however, that ARM revenues should increase by 20% per year for the next three years despite the uncertain macroeconomic backdrop.
2. Soundhound ai
The first attempts in the world of vocal interfaces were not particularly impressive. Although some of them are still there (like telephone menus in the form of voice, for which the acceptable response options are quite limited), many higher level projects using this idea have since been abandoned.
Last year, for example, the fast food chain McDonald’s abandoned its use of IBMAutomated order technology – mainly because it has never worked as well as hope.
Do not jump to radical conclusions on the idea on the basis of this decision. The underlying technology was in fact McDonald’s before being sold in IBM in 2021 as part of what was more a cheap experience than an investment in a brand new profit center which was outside the framework of one or the other of the companies. Something more specially designed, at the top of a more advanced AI platform, could be more successful.
Enter Soundhound ai (Soun 1.50%)).
As the name suggests, Soundhound operates vocal communications fueled by AI as there have not been only a few years. He has developed his AI platform as a current property (called Houndify) since 2015, marking the point where simple speech recognition technology has become speech technology, and even speech understanding technology. There is undoubtedly no other player almost as far as Soundhound is in the vocal ribbon of the AI market.
As proof of this argument, several car manufacturers also develop their assistance technology in cars around Houndify, while the credit card company MasterCard Includes Soundhound technology within the automated voice control solution, it now offers fast service restaurants such as the above McDonald’s.
It is still not entirely at its peak, and many consumers remain a little hesitant to use automated vocal interactions for many different aspects of their daily life. But they will probably come. Market Market Soupied. US estimates that the global market for voice -based AI agents alone will develop at an average annualized rate of almost 35% to 2034. The Soundhound AI is positioned to grasp a large part of this growth.
In fact, it’s already. Her income from the first quarter improved an incredible 151% of one year on the other, accelerating compared to the 85% growth that she declared for the entire 2024.
3. Bigbear.ai
Finally, add Bigbear.ai (Bbai 0.41%)) to your list of artificial intelligence stocks without the obstruction to buy now.
To date, the majority of the market objective in the decision -making software space fueled by AI has been on PALANTOUT Technologies.
And of course. Not only Centers for Disease Control TAP Palant to obtain help to master the Pandemic COVID-19, but several weapons from the Ministry of Defense are also counting on its new generation services to solve new generation problems. These are high -level agreements. Never worry about the fact that Palantant is the biggest name in the artificial intelligence platform industry.
The investment opportunities are however relative; Small businesses with a lot of growth potential are always able to produce large gains for investors. There will just be fewer shareholders resulting from it.
Bigbear is one of these companies.
At first glance, it may seem to be a carbon copy close to Palantir. Look more deeply. BigBear.ai is different due to focus largely focused on companies rather than government institutions. Manufacturing facilities, industrial warehouses, health care providers and biopharmatic companies are its current basic target markets – although it can and serves certain customers in the public sector.
Although the private sector tends to make major capital investments at a slower and more methodical rate (because their stakeholders generally require care for resources), it is a much more important opportunity than the government market. Indeed, AI can ultimately help organizations save money, earn money or both. And of course, the two are priorities in the business world.
According to a forecast for priority research, decision -making of the artificial intelligence industry will increase at an average annual rate of 16% per year to 2034.
This does not mean that this stock of AI will always be easy to own in the near or distant future. Not only is Bigbear not profitable, but its fairly small size means that it does not benefit from the advantages of the scale. He also has relatively few analysts who follow him and draw the attention of investors to him.
If you can stretch the level of risk and volatility involved, this last point could help you buy: the price of the current consensus of analysts of $ 6.63 for Bigbear.ai is almost double the current price of the action. It is not a bad rear wind to have when starting a new investment.
