5 AI Stocks to Buy Before the Next Leg of the Rally
Yahoo Finance ·
Artificial intelligence (AI) has been one of the biggest drivers of the stock market. Over the past year, the Nasdaq CTA Artificial Intelligence Index , which tracks AI stocks in a variety of sectors, is up more than 60% -- soundly beating the 25% gain of the much larger Nasdaq Composite . The AI trend shows little sign of slowing down, and investors have plenty of ways to invest, including chips, software, and cloud computing. Here are five AI stocks to buy before the next leg of the AI rally takes place -- with each playing a critical role in the AI ecosystem. Nvidia ( NVDA +0.38% ) has arguably been the biggest overall winner in the AI race. The company's graphics processing units (GPUs) have been essential to training and running AI programs, making Nvidia the world's largest publicly traded company by market cap at $4.7 trillion. Nvidia's GPUs power data centers worldwide, enabling generative AI, machine learning, and other complex computing tasks. And now it's taking the next step with its Vera Rubin architecture that uses NVLink chip-to-chip interconnects to allow GPUs and CPUs to share memory space and work more efficiently.
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