With the massive focus on energy consumption, this technology could drive increased sales as clients rush to adopt this architecture. As AI gathers momentum, its adoption is accelerating across industries such as financial services, healthcare and manufacturing, to name just a few. See our list of the best online brokers to start investing in your favorite AI stocks.
- The company is also seeing organic momentum, with improvements in content performance and growth in its Data, Distribution, and Services segment.
- Alibaba is also using AI to enhance its AI platform, automating tasks like product listings, as well as making recommendations and product search easier.
- In its first-quarter 2025 report, CoreWeave said that no single company accounted for more than half of its backlog, a sign that its customer concentration is improving.
- Vivodyne, a company developing drug testing on lab-grown 3D human tissues, has secured $40 million in a Series A funding round.
Meta Platforms’ AI Investments
The funding will be used to continue growth, build the first factory in Texas, and expand operations. Based in Atlanta, GA, Stord has raised a total of $268 million, with this round supporting its mission to unify logistics on a single platform. Statsig, a provider of a platform for data-driven product development, has secured $100 million in a Series C funding round. The round, announced on May 6, 2025, was led by ICONIQ Growth, with participation from existing investors Sequoia Capital and Madrona Venture Group.
Introduction to AI Investment Opportunities
AI stocks are publicly traded companies that develop or employ AI technology as part of their business. AI stocks span sectors such as semiconductors, software, robotics, and even beyond technology, representing companies that are using AI in ways that set them apart from their peers. The track record of performance is comforting, but it looks even better alongside Synopsys’ current positioning. The company’s product suite will support the AI revolution directly by enabling ongoing innovation in integrated circuit design and manufacturing. Synopsys is also in the process of acquiring engineering simulation provider Ansys (ANSS).
It launched Azure AI Foundry in November 2024, enabling its customers to create and manage AI apps and agents. As of April 2025, developers at more than 70,000 companies were using it. Machine learning and neural networks are very much at the center of the company’s autonomous vehicle and Optimus autonomous robot projects. Computers excel at crunching numbers but struggle with tasks that many people do with ease, like language processing, visual perception, object manipulation, reasoning, planning, and learning. Morningstar quantifies its 15-year total return at 23.7%, which outperforms peers in the software infrastructure industry.
Machine learning stocks
- Statsig, a provider of a platform for data-driven product development, has secured $100 million in a Series C funding round.
- It’s been the most valuable company in the world on several occasions and was No. 1 in October 2025.
- I expect these customized chip sets will become far more popular in the next few years as organizations know better what their AI workloads will look like.
- Azure OpenAI has seen a particularly strong uptake, now counting more than 65% of the Fortune 500 as customers.
The dip creates a nice buying opportunity for a company that will be essential to semiconductor manufacturing for the foreseeable future. TSM is the world’s leading semiconductor foundry with an estimated market share of 61%, according to Statista. TSM customers include leading chip designers that outsource manufacturing, such as Nvidia, AMD and Broadcom. Spending on AI infrastructure will likely continue, but the pace and focus of that spending may change. TechInsights predicts a greater emphasis on cost efficiency over performance.
AI is a rapidly evolving sector with applications across nearly every industry, from health care to finance and cybersecurity. As adoption accelerates, AI companies have significant room for revenue expansion and market dominance. Furthermore, ongoing advancements in research and development are enhancing AI models’ reasoning and adaptability, unlocking even greater disruptive potential.
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With Tesla (TSLA +2.61%) having launched its robotaxi network in Austin, the autonomous vehicle race appears to be heating up, which should be good news for the semiconductor sector. It has been adding both internal and third-party models to products like Microsoft 365 Copilot and Azure, including DeepSeek’s R1. Microsoft (MSFT -0.17%) has gotten lots of buzz lately, thanks to its partnership with OpenAI. The tech giant began investing in the tech start-up in 2019 and invested another $10 billion in OpenAI following the launch of ChatGPT. Tesla introduced its driverless Cybercab in October 2024, and the company hopes to begin producing the vehicles by 2026. It launched its robotaxi network in June, though with just a handful of vehicles, and Musk envisions an expansion to other cities in the near future.
Best AI Stocks Of 2025
Runway, a startup at the forefront of generative AI for media production, has raised $308 million in a Series D funding round led by General Atlantic. With this funding, Runway aims to redefine the media landscape with AI-driven tools that enhance creativity and efficiency, bringing its total raised to $536.5 million since its founding in 2018. Choosing to invest in pure-play ai companies to invest in AI stocks involves selecting companies that prioritize artificial intelligence as their core business. These firms are typically expected to achieve growth rates significantly above the market average, fuelled by their commitment to cutting-edge technologies and applications. This exceptional growth trajectory captures the interest of investors looking for AI stocks to buy with high return potential.
Although picking stocks in a growth industry comes with a lot of uncertainty, these top AI stocks are all worth considering. Envato expands Shutterstock’s offering with a subscription for unlimited downloads—formerly a gap in the SSTK’s product suite. The company is also seeing organic momentum, with improvements in content performance and growth in its Data, Distribution, and Services segment. ASML is the dominant market share leader in photolithography machines for semiconductors.
Many AI stocks trade at high valuations due to investor enthusiasm and growth expectations. While the AI sector has strong long-term potential, some companies may be overvalued, leading to the risk of significant price corrections. Speculative investments, particularly in early-stage AI companies, can result in inflated valuations that may not be supported by actual revenue or profitability. CoreWeave (CRWV -5.53%), which had its initial public offering (IPO) in March 2025, may be the closest thing to a pure-play AI stock on the market, and it launched the first major AI IPO.
The decision to invest in AI stocks needs to be made by each investor, depending on that investor’s portfolio and what they believe the future holds for the industry. Regarding competition pressure, Nvidia still reigns supreme in the AI GPU space, limiting AMD in that lucrative market. The company also relies on the Taiwan Semiconductor Manufacturing Co. for its chip production.
Momentum investing is a strategy that seeks to capitalize on existing market trends by investing in stocks that have recently outperformed their peers or the broader market. The core idea is that stocks on an upward trajectory are likely to continue rising as long as the fundamental driversbehind their growth remain intact. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Our partners cannot pay us to guarantee favorable reviews of their products or services. Meta also has a cash cow similar to Alphabet’s Google Search in its social media properties, like Instagram and Facebook. Meta is using the funds from these businesses to heavily invest in AI infrastructure that it thinks can improve user experiences and drive increased ad revenue alongside efficiencies within the company.
Some of the chips will soon be made at TSMC’s new production site in Arizona. In the world of digital creation, ADBE is facing competition from cheaper alternatives and open-source tools. The stock is also exposed to economic sensitivity, as its customers, many of whom are small businesses and freelancers, are vulnerable to economic downturns.
Nvidia develops hardware and software platforms that can power driver-assistance features and fully autonomous driving, which could be a significant source of revenue if that industry takes off. Automotive revenue accounts for only a small fraction of the company’s revenue, but that could change. Well-run, high-margin, adaptable businesses that support the development, training and deployment of AI applications are well-positioned for growth as the technology evolves. Nvidia designs and sells high-performance semiconductors and related hardware and software. The company’s hardware is used in AI-capable data centers, gaming applications, robotics and automotive applications.
Synopsys makes electronic design automation (EDA) software that supports the design, manufacture and testing of integrated circuits. Customers span several verticals, including automotive and semiconductor design. Much more than breaking news, our diverse reporting digs deeper with unparalleled insights that empower you to make better informed decisions.