Nvidia Led the First Phase of Artificial Intelligence (AI), but These 2 Growth Stocks Will Lead the Next Phases, According to a Wall Street Team
Nvidia (NASDAQ: NVDA) has undoubtedly led the first phase of the artificial intelligence (AI) boom. Its share price soared 245% over the past year as businesses clamored to buy its graphics processing units (GPUs), chips that have become synonymous with AI. But analysts at Goldman Sachs see Amazon (NASDAQ: AMZN) as a leader in the second and fourth phases of AI, and Cloudflare (NYSE: NET) as a leader in the third phase.
The four phases are detailed below. Investors should not think of them as distinct events, but rather as a continuum where a new phase can begin well before the previous one has ended. In other words, all four periods will overlap to some degree.
The Goldman analyst team has made sensible selections. Amazon is the largest cloud services provider in the world and the company is already using AI to make its logistics business more efficient. Similarly, Cloudflare has a substantial opportunity to monetize AI through its Workers developer platform, so much so that management believes it could be a leader in AI inferencing.
Source Fool.com
