Artificial Intelligence (AI) stocks soared in 2023, and the trend shows no signs of slowing down in 2024. Fueled by advancements in areas like machine learning and robotic process automation, AI companies are witnessing solid growth and attracting investors’ attention. According to Statista, the AI market is expected to grow at a compound annual growth rate (CAGR) of 15.8% to reach $738.8 billion by 2030.
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Thus, leveraging the TipRanks Stock Screener tool, we have shortlisted stocks with a Strong Buy consensus rating. Further, analysts’ price targets reflect more than 10% upside potential in the next 12 months.
Here are the five key stocks from the industry that investors can consider.
- Nvidia (NASDAQ:NVDA) – Nvidia manufactures computer graphics processors, chipsets, and related multimedia software. NVDA stock’s average price target implies an upside potential of 13.1%. In the past week, four analysts have reiterated a Buy rating on the stock.
- Amazon (NASDAQ:AMZN) – Amazon.com provides online retail shopping and cloud computing services. Analysts currently see an upside potential of 19.4% in AMZN stock. AMZN: Eight analysts have rated the stock a Buy in the past seven days.
- Taiwan Semiconductor (NYSE:TSM) – Taiwan is a multinational semiconductor manufacturing and design company. TSM stock has an upside potential of 22.6%, according to analysts. Following the release of Q4 earnings on January 18, four analysts assigned a Buy rating to the stock.
- SoundHound AI (NASDAQ:SOUN) – The company specializes in voice-enabled AI and conversational intelligence solutions. SOUN stock’s average price target implies an upside potential of 122.2%.
- ASML Holding (NASDAQ:ASML) – This company supplies photolithography equipment used in the production of integrated circuits. The stock has an average price target of $863, which implies 12.6% upside potential from current levels. Ahead of the company’s Q4 results, Bernstein analyst Sara Russo upgraded TSM stock’s rating to Buy from Hold.
