Recent news highlights the growing impact of AI across various sectors, from finance and technology to investment strategies. Several companies are leveraging AI to enhance their services and products. DigitalOcean's AI revenue has seen substantial growth, positioning it as a potential competitor to SoundHound AI. Companies like Micron, Dell, and Alphabet are also gaining attention as AI stocks that may appeal to value investors. In the financial sector, Broadridge LTX has introduced BondGPT Intelligence to improve corporate bond trading, while dxFeed's SummerFox has been recognized for its AI-driven trading technology. AMD is experiencing growth in AI chip sales and has expanded its stock buyback plan. Taiwan Semiconductor Manufacturing (TSMC) reported a significant increase in revenue due to high demand for its chips, driven by AI. Meta is forming an AI team to compete in artificial general intelligence. An AI analyst has demonstrated the potential to outperform human stock pickers. Despite concerns about Apple's AI progress, Goldman Sachs maintains a positive outlook on the company's stock, citing its leadership in consumer devices.
Key Takeaways
- DigitalOcean's AI revenue is rapidly growing, potentially surpassing SoundHound AI in value.
- Micron, Dell, and Alphabet are highlighted as fairly priced AI stocks for Warren Buffett-style investors.
- Broadridge LTX launched BondGPT Intelligence, using AI to enhance corporate bond trading.
- Taiwan Semiconductor Manufacturing (TSMC) reported a significant revenue increase due to strong AI demand.
- AMD projects substantial growth in AI chip sales, expecting over $20 billion in revenue by 2025.
- dxFeed's SummerFox won an award for its AI trading technology.
- An AI analyst has outperformed the majority of mutual fund managers over 30 years.
- Goldman Sachs still recommends Apple stock despite concerns over its AI advancements.
- Meta is creating an AI team to compete in artificial general intelligence.
- AI and robots are transforming labor markets, creating new investment opportunities.
DigitalOcean could surpass SoundHound AI in value by 2026
SoundHound AI's stock has doubled due to high demand for its AI software, but its valuation is very expensive. DigitalOcean, a cloud computing service for small businesses, has growing AI services. DigitalOcean's AI revenue soared 160% and its net income jumped 171% last quarter. DigitalOcean's stock would have to increase 58% to exceed SoundHound's valuation, but its lower valuation and profitability make it a strong contender.
Warren Buffett investors may like these AI stocks
Finding fairly priced AI stocks can be hard, but Micron, Dell, and Alphabet may appeal to Warren Buffett-style investors. Micron Technology makes memory and storage solutions, including a new chip ideal for AI on mobile devices. Dell Technologies sells servers and hardware for AI systems, with customer orders exceeding $12.1 billion last quarter. Alphabet uses AI in Google Search and Google Cloud, leading to revenue growth.
Broadridge LTX adds AI to bond trading
LTX, a division of Broadridge, launched BondGPT Intelligence, which uses AI to give real-time insights during corporate bond trading. It helps traders find bonds, search for liquidity, choose who to trade with, and execute trades. BondGPT Intelligence uses a large language model to respond to trader behavior. LTX is part of Broadridge Financial Solutions, which handles over $10 trillion in daily securities trading.
Stock futures steady amid trade talk watch
U.S. stock futures are mostly unchanged as investors await updates on U.S.-China trade talks. Apple's stock is slightly down before the Worldwide Developers Conference continues. Meta's CEO Mark Zuckerberg is creating an AI team to compete in artificial general intelligence. Taiwan Semiconductor Manufacturing Co's stock is up after reporting a 40% jump in May revenue, while Microsoft's stock is slightly down after an eight-day winning streak.
Taiwan Semiconductor sales jump as AI demand stays strong
Taiwan Semiconductor Manufacturing (TSMC) reported a 39.6% increase in May revenue compared to last year. This is because clients are buying more chips due to growing trade tensions. TSMC supplies chips to companies like Nvidia and Apple.
AI and robots transform labor investment opportunities
AI and robots are changing labor markets, presenting both challenges and opportunities for investors. Robots offer 24/7 operation and scalability, giving them advantages over human workers. AI is expanding into service sectors like law and healthcare. Companies in the ROBO and THNQ indexes offer exposure to this transformation, including physical automation leaders, AI service enablers, and infrastructure providers.
dxFeed SummerFox wins AI trading tech award
dxFeed's SummerFox won the 'Best AI Technology - Trading' award at the Sell-Side Technology Awards 2025. SummerFox uses AI to combine market data, news, and analytics into a clear story. It helps investors and portfolio managers make faster, smarter decisions by filtering out unnecessary information. The tool uses real-time AI to connect price changes, news, and analytics, providing accurate reporting for each user.
AMD projects AI chip sales growth, expands buyback plan
AMD reported better-than-expected earnings, driven by strong demand in its data center business. The company expects its data center business, boosted by AI chip sales, to exceed $20 billion in revenue by 2025. AMD's AI business is expected to improve profit margins. AMD also announced an additional $6 billion stock buyback plan, bringing the total to $10 billion.
AI analyst beats human stock pickers over 30 years
An AI analyst outperformed 93% of mutual fund managers by an average of 600% over 30 years. Researchers created the AI analyst to see if an AI bot could improve on the performance of mutual fund managers using public information. The AI used market data from 1980 to 1990 to correlate 170 variables with future stock performance. The AI then adjusted the fund managers' portfolios, generating $17.1 million per quarter on top of the actual returns.
Goldman Sachs still recommends Apple stock despite AI concerns
Goldman Sachs still recommends buying Apple stock with a $253 price target, even though Apple's recent developer conference didn't show much progress in AI. Apple announced design improvements and new features across its operating systems. Enhancements to Siri have been delayed until next year. Goldman Sachs believes Apple is still a leader in consumer devices and expects an improvement in iPhone sales.
Sources
- Prediction: This Magnificent Artificial Intelligence (AI) Stock Will Be Worth More Than SoundHound AI by 2026
- These Artificial Intelligence (AI) Stocks Could Appeal to Warren Buffett-Style Investors
- Broadridge's LTX Embeds Generative AI In Corporate Bond Trading Workflows
- 5 Things to Know Before the Stock Market Opens
- Taiwan Semiconductor’s May sales jump 39.6% as AI demand stays strong
- Investment Opportunities as AI, Robots Transform Labor
- dxFeed SummerFox Wins "Best AI Technology - Trading" at the 2025 Sell-Side Technology Awards
- AMD (AMD) Projects Robust Growth in AI Chip Sales, Expands Buyback Plan
- An AI analyst made 30 years of stock picks—and outperformed human investors by a 'stunning' degree
- Apple (AAPL) Gets Buy Rating Despite AI Letdown at WWDC25, Says Goldman Sachs