Top artificial intelligence stocks to explore amid AI boom

Highlights

  • Alphabet's revenue surged 62% YoY to US$61.88 billion in Q2, FY21.
  • The revenue of Twilio Inc. (NYSE: TWLO) rose 67% YoY n Q2, FY21.
  • The revenue of Twilio Inc. (NYSE: TWLO) rose 67% YoY n Q2, FY21.

 

A growing number of investors are focusing on the artificial intelligence (AI) segment of late as demand for AI products and services have steadily increased in recent years, especially during the Covid-19 pandemic. Today, AI companies provide services in various areas of the economy.

Many large organizations are spending on AI technology due to the demand for various online products and services. The e-commerce companies also use AI-powered processes to streamline their operations. From automotive to healthcare, every industry today is ramping up investment in artificial intelligence to stay ahead of competitors.

Here were explore top AI companies to watch out for in the fourth quarter of 2021.

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Alphabet Inc. (NASDAQ: GOOGL)


Alphabet is a holding company based in Mountain View, California, and offers a search engine and other cloud-based services.

The shares of the company traded at US$2746.89 at 2:25 pm ET on October 25, down 0.16% from its closing price of October 22. Its stock value increased by 59.39% YTD.

The firm has a market cap of US$1.83 trillion, a P/E ratio of 29.76, and a forward P/E one year of 27.01. Its EPS is US$92.25.

The 52-week highest and lowest stock prices were US$2,925.07 and US$1,508.48, respectively. Its trading volume was 2,529,448 on October 22. The company will release its third-quarter financial results on Tuesday, October 26, at 4:30 pm ET.

Alphabet's revenue surged 62% YoY to US$61.88 billion in Q2, FY21, while its net income came in at US$18.52 billion, as compared to US$6.95 billion in the same quarter of the previous year.

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AI Stocks: GOOGL, AAPL, TWLO, AI, NVDA

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Apple Inc. (NASDAQ: AAPL)

Apple is a Cupertino, California-based technology company and manufactures consumer electronic products and provides various online services to users.

The stock of the company was priced at US$148.91 at 2:33 pm ET on October 25, up 0.15% from its previous closing price. The AAPL 14.9% YTD.

The market cap of the company is US$2.58 trillion, the P/E ratio is 29.14, and the forward P/E one year is 26.60. Its EPS is US$5.11.

The stock saw the highest price of US$157.26 and the lowest price of US$107.32 in the last 52 weeks. Its share volume on October 22 was 58,883,440.

The firm is scheduled to release its fourth-quarter earnings report for FY 2021 on October 28 after the market close.

Apple’s net sales were US$81.43 billion in Q3, FY21, compared to US$59.68 billion in the year-ago quarter. Its net income was US$21.74 billion, against US$11.25 billion in Q3 FY20.

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Twilio Inc. (NYSE: TWLO)

Twilio is a cloud communications platform as a service company based in San Francisco, California. It provides communication APIs for SMS, voice calls, video calls, and other related services.

The shares of the company traded at US$360.36 at 2:40 pm ET on October 25, up 0.61% from its previous close. Its stock value surged 7.05% YTD.

The firm has a market cap of US$64.00 billion and a forward P/E one year of -125.68. Its EPS is US$-4.47. The 52-week highest and lowest stock prices were US$457.30 and US$254.82, respectively. Its trading volume was 1,836,122 on October 22.

The firm will release its third-quarter fiscal 2021 results on October 27, at 5:00 pm ET.

In the second quarter of fiscal 2021, the company's revenue surged 67% YoY to US$668.9 million. Its net loss attributable to common shareholders was US$227.85 million, against a loss of US$99.92 million in the year-ago quarter.

Also Read: American Express (AXP) Q3 income up 70%, Honeywell (HON) sales up 9%

C3.ai, Inc. (NYSE: AI)

C3.ai is a software company based in Redwood City, California, and provides AI-based software to accelerate digital transformation.

The stock was priced at US$46.16 at 2:47 pm ET on October 25, up 1.21% from its previous closing price. The AI stock plunged 61.99% YTD.

Its market cap is US$4.82 billion, and the forward P/E one year is -26.99.

The stock saw the highest price of US$183.90 and the lowest price of US$42.70 in the last 52 weeks. Its share volume on October 22 was 1,003,654.

The company's total revenue jumped 29% YoY to US$52.4 million in Q1, FY22. It reported a net loss of US$37.07 million against an income of US$150 thousand in Q1, FY21.

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AI stocks to watch in October

Source: Pixabay

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Nvidia Corporation (NASDAQ: NVDA)


Nvidia is a technology company headquartered in Santa Clara, California, and manufacturers graphics processing units (GPUs) for gaming and other related industries.

Its shares traded at US$233.21 at 2:53 pm ET on October 25, up 2.62% from their closing price of October 22. The stock jumped 73.3% YTD.

It has a market cap of US$582.95 billion, a P/E Ratio of 83.13, and a forward P/E one year of 65.12. Its EPS is US$2.80. The 52-week highest and lowest stock prices were US$231.30 and US$115.67, respectively. Its trading volume was 24,938,380 on October 22.

The company reported record revenue of US$6.51 billion in Q2, FY22, an increase of 68% from the same quarter of the previous year. Its GAAP net income came in at US$2.37 billion, representing an increase of 282% from Q2, FY21.

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Bottomline

The AI-based revenues are expected to hit US$100 billion by 2025, driven by high demand for AI products and increased remote work models, according to a Deloitte survey. The EV industry is also dependent on AI products and services. The S&P 500 information technology sector rose 21.42% YTD and 6.03% QTD, the Refinitiv data showed.

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