A self-driving car must process massive amounts of data from multiple sensors and cameras in real time, detect objects such as pedestrians and other vehicles, and make complex decisions. They require tremendous computing power, which is exactly what Nvidia’s platform delivers. CEO Satya Nadella has repeatedly said that he sees AI as the next major computing platform. The reported $13 billion investment in OpenAI is a sign of the company’s conviction in AI and its belief that it needs to lead that transition or be left behind, as it was with mobile.
NerdWallet does not and cannot guarantee the accuracy or applicability of any information in regard to your individual circumstances. Examples are hypothetical, and we encourage you to seek personalized advice from qualified professionals regarding specific investment issues. Our estimates are based on past market performance, and past performance is not a guarantee of future performance. Micron is a key supplier of memory chips to fuel AI workloads (think GPUs in data centers). As generative AI models grow and require faster data access, demand for Micron’s memory products should rise. It’s estimated that AVGO holds around 70% of the market share in application-specific integrated circuits (ASICs).
Alphabet
Broadcom has had a hot streak with acquisitions to diversify its business. Its largest acquisition was VMware in 2023 for $69 billion, a move to expand AVGO’s reach into cloud computing and virtualization. Other acquisitions include CA Technologies, Symantec Enterprise Security and Brocade Communications Systems.
That kind of value creation translates directly into market competitiveness, which is why the sector is seeing such explosive growth. Marvell’s scalable hardware solutions support major cloud providers, which in itself brings stability and long-term growth opportunities. But AMD has managed to dig in its heels and gain market share in the CPU, GPU and data processing space.
Amazon’s Role in AI Development
This round marks its total funding at $27 million, reflecting its early-stage growth in the AI research space. Apex Space, a manufacturer of standardized satellite buses, has secured $200 million in a Series C funding round. The funding will be used to scale production and meet the growing demand for Apex’s configurable satellite bus platforms. Based in Los Angeles, CA, Apex has raised a total of $318 million, aiming to accelerate access to space for commercial and government missions. Chainguard, a company providing secure open source software solutions, has secured $356 million in a Series D funding round. Announced on April 23, 2025, the round was co-led by Kleiner Perkins and IVP, with participation from new investors Salesforce Ventures and Datadog Ventures, as well as all existing investors including Sequoia Capital.
Top Artificial Intelligence (AI) Stocks To Buy In 2025
This new capital will fuel Hex’s mission to make data science more accessible and collaborative, enabling teams to work together seamlessly on data-driven projects. The company, founded in 2019 and headquartered in San Francisco, CA, has raised a total of $171 million, with this round bringing its funding to a new level. The exact funding date in 2025 is not specified, but it aligns with the trend of significant investments in AI-driven analytics tools. Listen Labs, an AI-powered customer research startup, has raised $27 million through seed and Series A funding rounds, both led by Sequoia Capital, with participation from new investors Conviction and Pear. Announced in April 2025, the funding will be used to expand operations, reach more businesses, and further develop the platform’s capabilities. Founded in ai companies to invest in 2023 and based in San Francisco, CA, Listen Labs helps users create research questions, identify participants, and run audio and video interviews, using large language models to generate reports.
The Best AI Stocks To Buy Now
Big money usually follows big moves, and we tracked those moves closely. While some AI companies may offer dividends, many are focused on reinvesting profits into growth and innovation rather than returning cash to shareholders. It’s essential to research individual companies to understand their dividend policies. The AI industry is highly competitive, with major players such as Alphabet (GOOGL), Microsoft (MSFT), Nvidia (NVDA), and OpenAI continuously advancing their technologies.
- Founded in 2023 and based in San Francisco, CA, Listen Labs helps users create research questions, identify participants, and run audio and video interviews, using large language models to generate reports.
- Get in front of thousands of founders, investors, PE firms, tech executives, decision makers, and tech readers by submitting your story to TechStartups.com.
- It’s also acquiring Core Scientific (CORZ +6.31%), which will bulk up its AI infrastructure with 1.3 gigawatts (GW) in power capacity.
Growth investors look for companies with increasing revenue and earnings per share (EPS), believing these metrics signal strong business fundamentals and potential for value appreciation. However, relying on just one of these indicators can present an incomplete picture, as factors like tax law changes, mergers, or one-time gains can distort the numbers. This advancement marks a move toward fully autonomous AI agents that could disrupt traditional white-collar work. The investing information provided on this page is for educational purposes only. NerdWallet, Inc. does not offer advisory or brokerage services, nor does it recommend or advise investors to buy or sell particular stocks, securities or other investments.
Musk has said Tesla’s automation technology could make it the most valuable company in the world. It has also introduced an agentic AI product with a wide variety of agents to help marketing, analytics, and operations teams be more productive. Investing in AI stocks has gotten popular given the growth in the sector. Shutterstock licenses third-party graphics and images to corporations, broadcast companies, small and medium-sized businesses and individuals.
- TSM is the world’s leading semiconductor foundry with an estimated market share of 61%, according to Statista.
- As generative AI models grow and require faster data access, demand for Micron’s memory products should rise.
- That’s monstrous growth, and if he’s right, Nvidia stock will be a must-own.
- We ranked these companies by total confirmed funding raised through June 10, 2025.
If you’re looking for direct exposure to AI, CoreWeave is a good option, as essentially all its revenue is driven by demand for computing power to run generative AI programs. CoreWeave has a high debt burden, large capital expenditures, and is deeply unprofitable on a generally accepted accounting principles (GAAP) basis. Revenue surged through 2023 and 2024, and the stock has soared as well. It’s been the most valuable company in the world on several occasions and was No. 1 in October 2025.
Taiwan Semiconductor Manufacturing in the AI Space
AI stocks offer significant growth potential, fueled by rapid technological advancements and strong investor enthusiasm. However, high valuations, regulatory uncertainties, and intense competition pose risks that investors must carefully navigate. While AI remains a compelling long-term investment, careful scrutiny of a company’s financials and thorough risk management are essential to avoid speculative bubbles and hype.
The merger will expand Synopsys’ market position and be accretive to revenue and earnings in 2025. The question for investors is whether the growth opportunity is already built into NVDA’s share price. The company’s PE ratio is on the high side, but NVDA also has the highest EPS growth outlook and the second-highest gross margin among the stocks on this list. While the greatest gain potential for NVDA may have passed, the stock still has room to run. We ranked these companies by total confirmed funding raised through June 10, 2025. While funding alone doesn’t guarantee success, it’s a clear indicator of investor conviction, growth potential, and execution capability.
