Apple's entry into AI market boosting potential for undervalued AI stocks

From Nasdaq: 2024-06-13 15:36:33

AI is surpassing hype with Apple entering the space. Global AI market set to hit $1.34 trillion by 2030 from $214.6 billion in 2024 at 35.7% CAGR. Morningstar finds AI stocks undervalued. Top undervalued AI stocks: STMicroelectronics, Infineon Technologies, Sensata Technologies, Nvidia, Adobe. STM has 12% YTD decline, IFNNY down 3.3%, ST up 4.5%, NVDA up 159%, ADBE down 22.8% pre-earnings report. ST market cap $40.84B, IFNNY $54.2B, ST $5.9B, NVDA $3.07T, ADBE $206B. ST forward p/e 20.9, IFNNY 20.82, ST 10.63, NVDA PEG 1.46, ADBE 25.53x forward earnings. Analysts consensus “Moderate Buy” for all 5 stocks, some with “Strong Buy” and “Hold” ratings. Highest mean target price is ADBE with 33.6% upside potential, followed by IFNNY with 13.5%. NVDA has a 16.5% upside potential, ADBE 33.6%, and ST 6.6%.



Read more at Nasdaq: 5 AI Stocks That Still Look Undervalued