Three AI stocks recommended by analysts for potential growth: SoundHound AI, Baidu, and UiPath.

From The Motley Fool: 2024-05-05 13:07:00

In the world of AI investing, Nvidia stock has soared 500% since the start of 2023, but analysts believe it may be reaching a peak. Investors may want to look at alternative options like SoundHound AI, Baidu, and UiPath, which analysts believe have more upside potential, with SoundHound having a potential 50% upside.

SoundHound AI, known for its AI voice platform, has shown impressive revenue growth but is still facing competition and needs to prove its technology. While the stock could rally 50%, concerns about sustainability and profitability make it a risky investment at this time.

Baidu, often compared to Google, has a search engine and cloud business, but concerns about Chinese government ties and growth rates have kept investors cautious. However, with its chatbot Ernie showing promise, and with relatively low valuation, Baidu may offer a 60% upside potential.

UiPath, specializing in automation platforms, has shown strong growth and profitability, with analysts predicting a 40% upside potential for the stock. With a PEG ratio of less than 1, UiPath may be a good value buy for long-term investors looking to capitalize on the automation trend in business.



Read more at The Motley Fool: 3 AI Stocks That Have More Upside Than Nvidia, According to Wall Street