10 Artificial Intelligence Stocks That Will Make You A Millionaire | The Motley Fool

One way to make money as an investor, and become a millionaire or multi-millionaire in the process, is to pay attention to emerging trends and expanding technologies — and invest in companies that dominate those areas. Keep in mind, however, that this strategy doesn’t always work as well as you’d expect, and that sticking to low-fee, broad-market index funds can be safer and more powerful. They will make you a millionaire.

Artificial intelligence (AI) is growing rapidly these days, and many investors are justifiably wondering where they can invest to leverage AI. Here are 10 stocks to consider. Each plays a significant role in the world of AI.

10 Artificial Intelligence Stocks That Will Make You a Millionaire

1. Nvidia

Most investors have heard of a semiconductor company Nvidia (NASDAQ: NVDA ) Now and own it or they would like to. Originally known for gaming chips, it is now a leader not only in graphics processing units (GPUs) for games but also chips for data centers. This bodes well for Nvidia’s future as data centers continue to grow and our AI operations run through them. Nvidia recently took its market cap to $2.5 trillion — and that’s after a 24% drop from its 52-week high!

2. Meta platforms

Meta platforms (NASDAQ: META)The parent of Facebook and Instagram, among other platforms, is another player in the AI ​​arena, spending billions on AI research and incorporating AI into many of its offerings. The company has raised eyebrows by open-sourcing its Llama AI model.

3. Dell Technologies

You might not think of a hardware expert Dell Technologies (NYSE: DELL) As an AI company, but keep in mind that proliferation of AI means proliferation of servers and storage systems offered by Dell. The company has reported strong growth in its AI-related sales.

4. Palantir Technologies

Palantir Technologies (NYSE: PLTR ) Included in the S&P 500, and for good reason, it has grown to specialize in AI software, with a recent market cap of $67 billion. It started with a focus on serving government clients, but has been expanding into commercial ones.

5. Broadcom

Broadcom (NASDAQ: AVGO ) A semiconductor specialist offering wireless, optical and AI processing chips. Its AI business is doing very well, as revenue from AI-focused optical and networking chips jumped 280% to $3.1 billion in the second quarter. Some expect it to be profitable from custom AI chips as well.

6. Micron Technology

Just as the boom in AI requires a lot of servers and data centers, it also requires a lot of memory, which is where the memory specialist comes in. Micron Technology (NASDAQ:MU) Micron is a cyclical stock, so expect it to go up and down with the economy.

7. Microsoft

Microsoft It is involved in all kinds of technology, from its widely used office productivity software to its Azure cloud computing platform to the Xbox gaming platform and Windows operating system, among others. Microsoft has invested billions in OpenAI developed by ChatGPT and is incorporating AI into many of its offerings.

8. Qualcomm

Qualcomm A chipmaker that supplies many of the chips inside smartphones — not to mention cars and home appliances. It has recently been developing AI-focused chips, and is poised to benefit as more AI computing starts to happen inside devices instead of in the cloud.

9. Letters

letters It dominates the search world with its Google engine, and it has successfully incorporated AI technology into Google without outsourcing it. Even better, unlike many companies on this list, Alphabet’s stock looks attractively valued at recent levels, with its latest forward price-earnings (P/E) ratio of 17.4 below its five-year average of 23.6. .

10. Advanced Micro Devices

Advanced Micro Devices is an AI chipmaker, and it’s also getting into the server business with its recent $4.9 billion acquisition of ZT Systems.

These are only 10 Many There are solid AI-related and AI-focused companies.

Artificial Intelligence shares in perspective

You might wonder why I listed 10 Stocks instead of the best one or two. Well, that’s because I don’t know which AI-related stocks will dominate in the future. It’s easy to guess, and the above companies will surely advance from AI, but no one knows how things will work out. Also, these stocks are often not cheap, along with many of the above.

Given that, you might consider a favor Finance AI stocks. Or a fund that focuses on technology stocks, which will always have a lot of exposure to AI. It’s a good way to avoid missing out on most of tomorrow’s big winners. Some possibilities with amazing records:

Data source: Morningstar.com, as of September 6, 2024.

If you know a lot about AI, you can invest in stocks with better long-term performance. Otherwise, consider buying a basket of AI companies individually or through a fund. Choose any of these ways and go millionaire with AI Boom.

Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. Randi Zuckerberg, former director of market development and spokeswoman for Facebook and sister of Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool’s board of directors. Selena Maranjian holds positions in Advanced Micro Devices, Alphabet, Broadcom, MetaPlatforms, Micron Technology, Microsoft, Nvidia, Qualcomm and iShares Trust – iShares Semiconductor ETF. The Motley Fool owns and recommends positions in Advanced Micro Devices, Alphabet, Meta Platforms, Microsoft, Nvidia, Palantir Technologies, Qualcomm and iShares Trust – iShares Semiconductor ETF. The Motley Fool recommends Broadcom and the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.