Super Micro Computer, SoundHound AI, or Nvidia: Which Artificial Intelligence (AI) Stocks Should You Buy?
The artificial intelligence (AI) craze has sent the share prices of many tech companies flying in 2024, but Super Micro Computer (NASDAQ: SMCI) and SoundHound AI (NASDAQ: SOUN) stand out. Their astronomical gains managed to eclipse even AI chip pioneer Nvidia (NASDAQ: NVDA), which has been growing at a fast pace thanks to the buoyant demand for its graphics cards.
While shares of Nvidia have gained an impressive 75% so far in 2024, Super Micro Computer has shot 209% higher, and SoundHound AI is up by 268%. But are any of these three AI stocks still worth buying at their current valuations?
Despite Supermicro's impressive year-to-date rise, the stock still trades at an attractive 6.6 times sales. That's not surprising, as the company justified its rapid stock price surge with solid revenue growth. For instance, in its fiscal 2024 second quarter (ended on Dec. 31), Supermicro's revenue more than doubled to $3.66 billion from $1.8 billion in the prior-year period.
Source Fool.com
