In the world of technology, one company is benefiting from the rise of AI in advertising, while another is meeting the demand for cloud-based AI services among small businesses. AI is driving growth in the tech sector, with companies offering AI solutions seeing healthy business growth and valuations. Investors can capitalize on this growth by investing in solid AI companies with reasonable valuations.

Meta Platforms, a social media giant, is leveraging AI in its applications to boost user engagement and ad spending. With nearly 3.5 billion daily active users, Meta’s AI tools are driving ad performance improvements, leading to a 5% increase in ad conversions on Instagram and a 3% improvement on Facebook. The company’s focus on AI-driven tools is helping it capture a larger share of the digital advertising market.

DigitalOcean, a cloud computing services provider, is capitalizing on the growing adoption of AI by offering a full-stack AI solution to early-stage tech companies and developers. The company’s AI-focused offerings have led to strong revenue and earnings growth, with an 8% potential increase in earnings per share forecasted for 2026. DigitalOcean’s strategic approach to AI could position it for further growth in the future.

Investors looking for opportunities in the tech sector may find value in companies like Meta Platforms and DigitalOcean, which are tapping into the power of AI for business growth. With AI driving innovation and efficiency in various industries, these companies are well-positioned to benefit from the continued expansion of AI technology. Consider investing in these AI-focused companies for potential long-term growth and returns.

Read more at Nasdaq: Undervalued and Profitable: 2 Artificial Intelligence (AI) Stocks to Buy and Hold