3 Artificial Intelligence (AI) Stocks to Consider for Long-Term Growth

As the AI sector emerges as the next major technological frontier, investors are eyeing key players poised for long-term growth. Here are three AI stocks that experts believe could yield significant returns over the next 25 years:

1. Amazon (NASDAQ: AMZN) – Powering AI with Cloud Dominance

• Analyst: Justin Pope
• Amazon Web Services (AWS), the world’s largest cloud platform, is central to AI’s development.
• AWS is incorporating in-house-designed chips, enhancing its capabilities for AI applications.
• With a significant market share lead in the cloud computing sector, Amazon is well-positioned for sustained growth.

2. Palantir Technologies (NYSE: PLTR) – AI-Driven Big Data Analysis

• Analyst: Jake Lerch
• Palantir’s AI-driven big data analysis platform aids organizations in navigating vast datasets.
• The company reported robust Q4 2023 results, with a 35% growth in customer count and increasing quarterly revenue.
• Palantir’s profitability and potential inclusion in the S&P 500 signal strong prospects for future growth.

3. Snowflake (NYSE: SNOW) – Data Cloud Innovation

• Analyst: Will Healy
• Snowflake’s data cloud efficiently manages, stores, and secures data in the cloud.
• The company, despite its seemingly high price-to-sales ratio, has Warren Buffett’s Berkshire Hathaway as a pre-IPO investor.
• Snowflake’s Snowflake Cortex, released in 2023, facilitates the quick development of AI applications within its platform.

While these stocks present varying focuses within the AI landscape, they collectively represent promising investment opportunities. The growth potential of AI coupled with the strengths of these companies makes them attractive choices for investors looking to hold for the long term.

Note: This summary is based on an article by Justin Pope, Will Healy, and Jake Lerch published on Feb 11, 2024, on The Motley Fool.