Artificial intelligence has revolutionised numerous industries. It has enabled many companies to improve operational efficiency, make data-driven decisions, and collect and analyse large amounts of information with ease. The industry is expected to grow at an approximate compounded annual growth rate (CAGR) of 50% in the next five years.
The best artificial intelligence companies have a strong financial position and lure investors with tremendous growth potential. If you want to find out the top AI stocks to buy right now, check out the following sections!
Where Can I Buy Artificial Intelligence Shares?
Artificial intelligence shares are available via numerous online brokers. To ease your task, we’ve listed the best trading platforms that give you access to the best AI stocks. You can trade AI shares during the relevant trading hours, depending on the stock exchange that lists the selected companies.
Overview of the Artificial Intelligence Companies
Artificial intelligence (AI) is quickly gaining popularity as it has been increasingly adopted by numerous businesses. It is now used in a plethora of areas, such as chatbots, fraud detection, or algorithmic trading, as it helps to analyse large amounts of data in a highly effective manner. With huge growth prospects, AI is a potent option for investors and businesses alike.
What Are the Trading Hours for Artificial Intelligence Shares?
Most shares that made our list are traded on the North American market. Therefore, the regular trading hours are from 9:30 A.M. to 4 P.M. (ET). In case you want to invest in artificial intelligence stocks that are listed in other countries, you need to check the local trading hours.
How to Trade and Invest in Artificial Intelligence Shares?
Open an Account
The first step is to choose a brokerage platform that provides access to artificial intelligence shares. You need to open an account and provide your personal information, such as name, address, and email. To comply with KYC (Know Your Customer) guidelines, brokerage firms require you to upload an ID.
Once your account is verified, you can choose your favourite artificial intelligence stocks. Typically, you can filter your broker’s offering based on your preferred categories. You can also pick our shortlisted stocks, but make sure you thoroughly research all financial assets before investing in them to decrease your risks.
Be sure to fund your new trading account. Brokers provide multiple deposit methods, including e-payments. You should verify if there are any charges associated with this process before choosing your online broker. Once your account is funded, you can start trading by selecting your stock, adding in the amount of money you want to invest, and then click on “buy”.
Top 10 Artificial Intelligence Shares to Buy
This is the list of artificial intelligence shares to buy right now. We’ve also selected the top five to have a closer insight into their activity and growth potential.
- Deere & Company
Headquartered in Palo Alto, California, Tesla is involved in manufacturing and selling electric vehicles and powertrain components and systems. It is an electric car manufacturer quickly capturing market share both locally and internationally.
Tesla is extremely popular among millennials. Its share price outperformed the overall market, increasing by 2,817% in the last five years.
Google’s parent, Alphabet, makes most of its revenue via its online advertising services provided all around the world. However, the group’s activity is divided into services, cloud computing, and other sectors, while part of it is involved in the development and use of AI.
As of this writing, the company’s stock price has increased by 19% in 2021, with a growth of over 200% in the last five years.
Another American company, Kratos provides critical services to governments and private entities both locally and internationally. Its business activity is split into two segments – Unmanned Systems and Kratos Government Solutions. It uses AI solutions with direct application in the aerospace industry and defense sectors.
Its shares are up closer to 900% in the last five years, and it was awarded a contract for FedRAMP advisory services in January 2021.
A Chinese company headquartered in Beijing, Baidu offers Internet-related services in China and other parts of the world as its main business activity. However, it is also involved in other segments, such as Baidu Encyclopedia, Baidu Healthcare Wiki, or Apollo – an autonomous driving platform. Baidu Cloud, in particular, provides AI solutions and cloud infrastructure to both private and public entities.
Baidu has recently won a permit to test driverless vehicles on California public roads and is up 90% in the last five years. It has also unveiled a 10-year spending plan that focuses on AI, the 5G revolution, and the Internet of Things (IoT).
Another Chinese company headquartered in Beijing, JD, is mostly an e-commerce company with its business activities split into two segments – New Businesses and JD Retail. It is one of the main B2C players featured by Fortune Global 500.
Many analysts see tremendous growth potential in this company. Its shares increased by more than 300% over the last five years.
Expert Tip on Investing in Artificial Intelligence Shares“ Artificial intelligence stocks can offer great returns if you add them to a diversified portfolio. Make sure you do your own research before picking the companies that suit your investment strategy. Whether you are an active or passive investor, our well-rounded options may turn into rewarding investment opportunities. ”- Mircea Vasiu
Why Invest in Artificial Intelligence Shares?
Companies that invest in artificial intelligence may turn into the major incumbents in this infant industry. If you decide to add them to your trading portfolio, you could benefit from the massive growth associated with AI, according to numerous analysts.
Frequently Asked Questions
Google’s parent company, Alphabet, is one of the top three largest companies in the world and has vast resources to invest in the AI industry.
Yes. The AI market is expected to reach a CAGR of 48.9% from 2021 to 2026, achieving over $43 billion in value.
Alphabet has a sound business model with a robust balance sheet and huge cash positions.
The AI industry may be suitable for investors who are willing to diversify their portfolio while investing in a sector with double-digit growth in the next five years.
Axon may be a great opportunity for beginners. However, it’s strongly recommended to use risk management strategies, such as portfolio diversification, investing only risk capital, and researching each asset thoroughly before investing in it.
Companies try to improve profit margins by reducing operational costs which is where AI intervenes as it improves productivity significantly. Additionally, it could automate numerous other tasks that allow businesses to become more efficient and improve performance.