The best AI stocks in 2023. Thinking about investing? Take a look at this list

PricewaterhouseCoopers, often known as PwC, an accounting and consulting organization, predicted these staggering figures in the rise of AI. 

Discover why investors are focusing on AI stocks.

What are AI stocks?

Founder of Andra Capital, a venture capital business focused on financing AI startups, Haydar Haba, claimed the interest in AI stocks is growing rapidly. 

Big corporations have publicly stated their disposition to profit from the sector’s expansion. AI stocks seem to have awaken many’s interest as the industry awaits for more exposure.

AI stocks frequently belong to one of two categories: large technological companies that have partnered with or invested in AI developers, or small, experimental companies that are entirely focused on AI.

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Wall Street analysts are currently working to get the best out of AI stocks. Management has started to bring up artificial intelligence more regularly and AI stocks are a hot topic nowadays. 

If you’re looking for the best AI stocks, this is a great time to proceed, although with caution, and get a glimpse into the industry.

Searching for AI stocks that use technology to enhance goods or acquire a competitive advantage is usually a challenging task. 

Experts suggest one should keep an eye on those businesses with an underperforming history that suddenly announce their product roadmaps for artificial intelligence.

Keep in mind, a while ago the AI models concentrated on extracting patterns from existing data. Back then corporate investment in AI projects was relatively low as businesses considered their return on investment. 

As of today, things have evolved to a point where AI stocks are gaining more and more attention.

The top 5 AI stocks

According on one-year performance, these are the top seven stocks in the Indxx Global Robotics & Artificial Intelligence Thematic Index. Every week, this list is updated. 

How to purchase AI stocks

For those looking forward to purchasing AI stocks, while being extremely new to stock trading, the first step is to open a brokerage account. 

The next step is to choose the level of AI stocks exposure you desire. Individual AI stocks may be able to provide substantial returns, but doing so involves significant risk, up-front costs, and research. 

The third step is to invest in AI-related pooled exchange-traded funds.

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How to find AI stocks

If you’re looking for AI stocks, a well-known option is gain exposure through exchange-traded funds focused on businesses that support AI. These companies provide an optimal option for AI stocks.

ETFs track a number of AI stocks indexes, including the Nasdaq CTA Artificial Intelligence & Robotics Index and the Indxx Global Robotics & Artificial Intelligence Thematic Index.

Searching “AI stocks” or “artificial intelligence” can take you in the right direction, yet you will have to carefully investigate any AI stocks you find through this method. Researching about any available ETF online is going to need special attention.

Take into account sometimes what you find online are not precisely AI stocks, but EFTs that invest in businesses with an AI connection. In some cases this might even refer to companies that manage to have AI assistance, yet they do not invest in AI stocks.

What to expect of AI stocks?

One could say expectations are on the rise nowadays, especially when it comes to one of the most popular matters to discuss nowadays.

Since AI in general is a hot topic nowadays, some AI stocks have even benefited from its popularity. During early 2023, some small businesses showed large rises in the value of their stocks after some stories surrounding artificial intelligence in the news. 

Such was the case of  BuzzFeed (BZFD). The company experienced an increase that went higher than 85%, just the day following the release of a news piece regarding a collaboration with OpenAI to create an AI-powered article writer in January 2023. A very clear example of the power of the AI and AI stocks hype.

This generalized excitement could certainly drive investors to approach the AI stocks world with a rather optimistic perspective. 

“In the private markets, we are seeing hundreds of millions of dollars flow into ‘AI’ companies that have no product market fit. While investors are justifying such investments based on growth potential, it remains unclear whether that potential can or will ever be monetized”, Haba claimed.

Keep in mind that while buying AI stocks can be profitable, there are hazards involved, so you should proceed with caution and fully investigate your resources. AI stocks require full attention on your side!

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