From Nasdaq:

Artificial intelligence (AI) spending is expected to increase 820% to over $1.8 trillion by 2030, compounding at 37% annually. Cloudflare (NYSE: NET) and ServiceNow (NYSE: NOW) are poised to benefit from this trend due to their strong market positions. Both stocks trade at reasonable valuations compared to growth expectations.

Cloudflare operates the fastest cloud network and developer platform, handling 20% of web traffic. Recognized for leadership in zero-trust network access and edge development platforms, the company reported a 32% rise in revenue and 148% jump in non-GAAP net income in the fourth quarter. Cloudflare is well-positioned in the AI market, with expected revenue growth of 25% annually.

ServiceNow helps businesses digitize workflows with a focus on IT service and operations management. Leaders in AI for IT operations and low-code application development, the company reported a 26% revenue increase and 36% spike in non-GAAP net income in the fourth quarter, driven by generative AI and forward-thinking product launches. ServiceNow’s strong presence in multiple IT software verticals sets the stage for robust sales growth.

As the AI market continues to grow, investors may want to consider Cloudflare and ServiceNow as both companies are well-positioned to benefit from increased spending in AI technology. Cloudflare’s innovative edge development platform and ServiceNow’s digitized workflow solutions make them strong contenders for investors looking to capitalize on the AI trend.



Read more at Nasdaq: The Artificial Intelligence (AI) Market Could Soar 820% by 2030: 2 AI Growth Stocks to Buy Now and Hold Long-Term