3 Artificial Intelligence (AI) Stocks That Are Screaming Buys in February
From Nasdaq:
1. Alphabet: AI stock Alphabet’s future was put into question by the rise of ChatGPT and concerns of losing business for Google Search to Bing. However, the emergence of “Gemini,” generative AI from Alphabet, plans to increase its competitive edge. Alphabet also has significant liquidity and a lower P/E ratio compared to peers.
2. Taiwan Semiconductor Manufacturing: Despite facing some risks due to geopolitical conflicts, Taiwan Semiconductor Manufacturing (TSM) offers investors a promising revenue forecast and a P/E ratio near 25. As the stock continues to rise, it may not remain an affordable investment option for long in the AI chip market.
3. IBM: After acquiring Red Hat and other cloud companies, IBM is making a significant comeback in the cloud space, supporting its role in AI. The company’s watsonx generative AI has contributed to IBM’s mid-single-digit revenue growth. With a lower P/E ratio and rising payouts, it may become the dividend stock of the cloud.
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