Artificial intelligence (AI) is predicted to be a transformative technology in the upcoming years, with economic impact comparable to the internet. Interest in AI surged after ChatGPT’s introduction, leading to 55% of Americans using generative AI weekly. AI adoption is happening faster than the internet’s 16-year journey to similar levels.

AppLovin (NASDAQ: APP) is a key player in the ad tech sector, expanding from mobile to web-based advertising with a new self-service platform. Its targeting engine Axon, powered by artificial intelligence (AI) and data from the mediation platform Max, delivers impressive results, outperforming Meta Platforms and other platforms by up to 115%.

AppLovin’s adjusted earnings are projected to grow by 48% annually for the next three years, making its current valuation of 51 times earnings reasonable. Analysts consider the stock deeply undervalued, with a median target price of $771 per share, suggesting an 89% upside from the current share price of $407.

Robinhood Markets (NASDAQ: HOOD) is a trading platform catering to younger investors, earning revenue through various means including payment for order flow and subscription fees. With an AI investment tool called Cortex and expectations of 20% annual earnings growth, the current valuation of 34 times earnings is seen as sensible by Wall Street analysts.

Most Wall Street analysts view Robinhood stock as deeply undervalued, with a median target price of $152 per share, indicating an 81% upside from the current share price of $84. The Motley Fool Stock Advisor team has identified 10 top stocks for investors to buy now, excluding Robinhood Markets, which could deliver substantial returns in the future.

Read more at Yahoo Finance: The 2 Best AI Stocks to Buy in February 2026