From TipRanks: 2024-06-22 10:26:58

Generative AI has been making waves since the launch of ChatGPT in 2022, impacting various industries from supercomputing to language translations. Market analysts predict the AI sector could reach $1.8 trillion by 2030, with AI spending potentially making up 8-10% of IT budgets this year. Nvidia and Palantir are highlighted as top investment opportunities in the AI sector, driving increased investor interest.

Nvidia’s stock has soared 194% in the past 12 months, with a market cap of nearly $3.25 trillion, making it one of the top publicly traded companies. The company’s recent financial performance exceeded expectations, with record revenue in the Data Center segment driving success. Analysts like Jim Kelleher from Argus see strong potential for continued growth, recommending a Buy rating with an 18.5% upside.

Palantir Technologies, a leading data analysis company, has seen significant growth driven by AI technology in recent years. The company uses AI to enhance data analysis for its customers, securing key contracts with the Department of Defense and Tampa General Hospital. Analyst Joseph Bonner from Argus is bullish on Palantir’s commercial prospects, highlighting AI-powered applications as key drivers of future growth. He maintains a Buy rating with a 22% upside potential.

Investors are turning to AI stocks like Nvidia and Palantir as the sector continues to expand rapidly, driven by advancements in AI technology. With the potential for exponential growth in the AI market, these companies are well-positioned to capitalize on the trend. Analysts are optimistic about both stocks, seeing strong growth potential in the evolving AI landscape.



Read more at TipRanks: Nvidia and Palantir: Argus’ Top Analysts Choose the Best AI Stocks to Buy