Get Rich Quick With These 3 AI Stocks to Buy Now

Stocks to buy

Are you an investor who is feeling bullish on the AI revolution?

The future is uncertain for the depth and impact that artificial intelligence may have. But, certain companies are well-positioned to capitalize on their AI stocks. These firms develop core AI technologies and machine learning algorithms. Then, businesses apply AI in innovative ways across industries like healthcare, finance, and automotive. 

So, for investors looking to get rich quickly, let’s explore three AI stocks to buy now. The valuations of these companies could change quickly due to their small market caps, so investors should take action swiftly.

Pegasystems (PEGA)

Source: Andrey_Popov / Shutterstock.com

Pegasystems (NASDAQ:PEGA) provides customer engagement and business process management. Despite some of the problems surrounding the stock, PEGA could be an excellent buy due to facing macroeconomic and structural problems for the company.

The business is guiding for a full-year average contract value growth of 12% at the midpoint. This approach comes amidst broader economic concerns and an internal restructuring that included a 4% reduction in headcount.

However, PEGA reported seeing significant revenue exceeding expectations due to outperformance in its subscription license segment. Also, tor 2024, the company’s guidance on revenue, EPS, and free cash flow has surpassed analysts’ expectations.

Underlining the bull case is that eight Wall Street analysts have given Pegasystems a moderate buy rating, with a consensus price target of $56.

Recursion Pharmaceuticals (RXRX)

Source: Piotr Swat / Shutterstock.com

Recursion Pharmaceuticals (NASDAQ:RXRX) specializes in drug discovery with its AI and machine learning algorithms.

This year could be huge for RXRX because there are two major data readouts expected in the second half of the year. These include results from the phase 2 SYCAMORE trial for REC-994 and the phase 2/3 POPLAR study for REC-2282. These studies target cerebral cavernous malformation and Neurofibromatosis Type 2 (NF2), respectively, in areas with no approved drugs.

While RXRX stock has had a negative free cash flow of $276 million over the past twelve months, the company reported a strong cash position with cash and cash equivalents totaling $389.5 million. This financial stability is increased by strategic partnerships, notably a $50 million investment from Nvidia (NASDAQ:NVDA).

There are several analyst price targets for the stock averaging $16.8, which implies a potential increase of 35.16% from the current price.

SoundHound AI (SOUN)

Source: rafapress / Shutterstock.com

SoundHound AI (NASDAQ:SOUN) offers advanced voice recognition and natural language understanding capabilities.

Last year, the company announced targeted restructuring measures aimed at accelerating its path to profitability. This included an increased focus on its SaaS product, SoundHound for Restaurants. Also, the business reported a strong Q4 revenue, up 84% year over year (YOY).

For this year, SOUN plans to capitalize on a $160 billion total addressable market across its core industries. The company’s strategic focus includes enhancing its product offerings and leveraging its extensive blue-chip client roster, particularly in the automotive industry.

Analysts rate SOUN as a strong buy, with a 17.02% predicted upside for its stock price. Furthermore, analysts like Scott Buck from HC Wainwright & Co. are even more bullish, giving it a price target of $5, which is an upside of 32.98%. Further, forecasted revenue for next year is 72.24 million, with a predicted increase for its EPS.

Therefore, in light of these recent financial results and projections, SOUN is one of those AI stocks to buy.

On the date of publication, Matthew Farley did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Matthew started writing coverage of the financial markets during the crypto boom of 2017 and was also a team member of several fintech startups. He then started writing about Australian and U.S. equities for various publications. His work has appeared in MarketBeat, FXStreet, Cryptoslate, Seeking Alpha, and the New Scientist magazine, among others.

Articles You May Like

If You Can Only Buy One Dow Stock in April, It Better Be One of These 3 Names
Fisker Stock’s Downfall: A Cautionary Tale for EV Investors
7 Must-Buy Growth Stocks That are Blue-Chips in the Making
3 Tech Stocks to Turn $10,000 Into $1 Million: April 2024
3 Under-$10 Stocks With 10X Growth Potential by 2026