From Nasdaq: 2025-04-27 05:43:00

Artificial intelligence (AI) stocks are taking a hit in the current market sell-off, with fears of a recession and tariffs increasing AI infrastructure costs. Leading AI stocks have dropped over 25%, posing challenges for big tech companies in the AI space.

Amid economic uncertainty, investing in companies with competitive advantages can yield strong returns. Meta Platforms (NASDAQ: META) stands out as a buying opportunity, trading 29% below its peak. Meta’s lack of a public cloud platform gives it an advantage in uncertain times.

Meta’s focus on AI training and inference, without the cloud platform competition, positions it well for long-term growth. While advertising revenue remains its primary income source, Meta’s broad audience and AI capabilities make it resilient in economic downturns.

Meta’s AI investments have unlocked opportunities like Reels and AI chatbots, driving user engagement and ad revenue. AI optimization in ad campaigns and business applications within Messenger and WhatsApp showcase the potential of AI for Meta’s growth.

Despite concerns about AI spending impacting profits, Meta’s strong position in AI and advertising makes it an attractive investment at a discounted price. With a P/E ratio below 22 and future growth prospects, now could be a great time to buy Meta stock.

Investors considering Meta Platforms should weigh its AI-driven growth potential against market opportunities. While Meta wasn’t on the recent top 10 stock list, its position in AI and advertising presents a compelling case for long-term investment.



Read more at Nasdaq: 1 Incredible Artificial Intelligence (AI) Stock Down 29% to Buy Right Now