The AI landscape is currently a mixed bag of excitement and caution. While some companies like Meta, ASML, and Nvidia are seeing benefits from AI, others like Salesforce and Adobe are struggling to keep pace, with their stocks down over 20% this year despite Nasdaq gains. An MIT report suggesting that 95% of organizations see no return from their AI investments has sparked concerns of an AI bubble, leading to a tech stock sell-off affecting Nvidia, Palantir, and Arm. Even OpenAI's CEO, Sam Altman, has voiced concerns about excessive AI hype, though OpenAI itself is planning massive trillion-dollar investments in computing infrastructure and is reportedly working on the $500 billion Stargate project with SoftBank and Oracle. OpenAI's CFO notes the company's constant need for more computing power, even after achieving its first $1 billion revenue month, and the company recently released ChatGPT-5. Databricks is raising $1 billion to develop an AI database and agent platform, while ZoomInfo is shifting its focus to AI and upmarket clients, with its AI Copilot generating $150 million in nine months. Investors are advised to use an 'AI filter,' considering companies creating or enabling AI, such as AMD and Oracle. For broader AI exposure, the Roundhill Generative AI and Technology ETF (CHAT) includes Nvidia, Alphabet, Meta Platforms, Microsoft, and Oracle. However, Nebius stock's high valuation compared to CoreWeave suggests that AI excitement may not always align with fundamentals. Finally, AI analysts are recommending Navios Maritime Partners, Delta Air Lines, and Sunlands Online Education Group, based on financial and technical indicators.
Key Takeaways
- Salesforce and Adobe stocks are down over 20% this year, struggling with AI competition despite overall market gains.
- Meta, ASML, and Nvidia are highlighted as strong AI stocks due to their unique strengths in leveraging or enabling AI technologies.
- The Roundhill Generative AI and Technology ETF (CHAT) offers exposure to 40 leading AI stocks, including Nvidia, Alphabet, Meta, and Microsoft.
- An MIT report indicates that 95% of organizations are not seeing returns from their AI investments, sparking concerns about an AI bubble.
- OpenAI CEO Sam Altman warns of AI hype but plans trillions in AI infrastructure investment and is working on the $500 billion Stargate project with SoftBank and Oracle.
- OpenAI's CFO says the company is constantly short on computing power, even after earning $1 billion in a month, and has released ChatGPT-5.
- Databricks is raising $1 billion to build an AI database and AI agent platform, aiming to disrupt the database market.
- ZoomInfo's AI Copilot has generated $150 million in nine months, reflecting a shift towards AI-driven tools for sales and efficiency.
- Investors should use an 'AI filter' to evaluate companies creating or supporting AI, such as AMD and Oracle.
- AI analysts recommend Navios Maritime Partners, Delta Air Lines, and Sunlands Online Education Group based on financial and technical indicators.
Salesforce and Adobe struggle with AI despite Nasdaq highs
Salesforce and Adobe stocks are down over 20% this year, even as the Nasdaq gains. AI is changing the software business, making it harder for these companies to grow. Salesforce and Adobe offer AI tools, but face tough competition. Investors are more excited about companies building AI infrastructure, like Nvidia and Microsoft. Salesforce and Adobe are still growing, but not as fast as other AI companies.
Top AI stocks Meta, ASML, and Nvidia still worth buying
Meta Platforms is using AI to boost user engagement, with daily users increasing. ASML is the only maker of special systems needed to produce advanced AI chips. Nvidia's data center business is growing fast, thanks to the demand for AI. These three companies are good choices for investors looking to benefit from the AI boom. Each offers unique strengths in the AI market.
Invest in AI with Roundhill Generative AI and Technology ETF
The Roundhill Generative AI and Technology ETF (CHAT) lets you invest in 40 leading AI stocks for under $60. Top holdings include Nvidia, Alphabet, Meta Platforms, Microsoft, and Oracle. This ETF has outperformed the Nasdaq-100 and S&P 500 since it started in May 2023. It could be a good addition to a portfolio that needs more AI exposure, but be aware of the higher expense ratio.
AI stocks slump after report questions project usefulness
Tech investors are worried after MIT said most AI projects aren't useful. Nvidia, Palantir, and Arm stocks fell after the report. The report said 95% of organizations see no return from AI investments. Even OpenAI's CEO, Sam Altman, thinks investors are too excited about AI. Oracle and AMD also saw their stocks drop.
MIT report sparks AI panic on Wall Street
A report from MIT says most AI investments aren't making money, causing a tech stock sell-off. Nvidia and Palantir shares dropped after the report said 95% of organizations get zero return from AI. OpenAI's CEO, Sam Altman, warns that AI investors are too excited. The report suggests AI is transforming work, but not through official business tools. Investors are worried about a potential AI bubble and its impact on the market.
Tech stocks plunge amid AI bubble fears
U.S. tech stocks fell 3.5% due to worries about an AI bubble. An MIT report said 95% of AI investors saw no returns, increasing market skepticism. Nvidia's stock dropped 3.5%, and Palantir's fell 9.4%. Investors are watching the Jackson Hole symposium and Nvidia's earnings report for signs of recovery. The decline also affected digital currencies, showing widespread risk aversion.
Future-proof your investments with this AI filter
Investors should use an 'AI filter' when considering stocks. This means looking at how companies are using or enabling AI. One category is investing in companies creating AI tech, like Advanced Micro Devices (AMD). Another is investing in companies supporting AI growth, like Oracle. Oracle's Cloud Infrastructure helps AI platforms and solutions, benefiting as the AI ecosystem expands.
Databricks raises $1B to build AI database
Databricks is raising $1 billion to create a database for AI agents and an AI agent platform. The company will invest in Lakebase, a database based on Postgres, for corporate developers. Databricks CEO Ali Ghodsi says AI agents are creating most new databases. The company also plans to invest in Agent Bricks, an AI agent platform for handling routine tasks. Databricks aims to disrupt the database market with AI-focused solutions.
ZoomInfo shifts to AI and upmarket clients for profit
ZoomInfo is focusing on upmarket clients and AI to increase profits. The company's AI Copilot has generated $150 million in nine months. ZoomInfo aims to improve sales and efficiency with AI-driven tools. Competitors like Cognism and Empler AI are also using AI. ZoomInfo's success depends on its ability to maintain high customer retention and effectively use AI.
OpenAI CEO warns of AI hype, plans trillion-dollar investment
OpenAI CEO Sam Altman warns that the current AI excitement could become a bubble. He says investors should focus on solid business plans. OpenAI plans to invest trillions in computing infrastructure for future AI needs. Altman says OpenAI will likely go public eventually. The company is working on the $500 billion Stargate project with SoftBank and Oracle.
Nebius stock jumps despite high valuation compared to CoreWeave
Nebius stock has increased 200% more than CoreWeave since June, even though it is worth more. CoreWeave has more to offer with its fundamentals. Nebius is trading higher because of excitement for AI.
OpenAI's CFO says company needs more computing power
OpenAI's CFO, Sarah Friar, says the company is constantly short on computing power, even after earning its first $1 billion in a month. The company needs more GPUs and computing resources. OpenAI is working with Microsoft, SoftBank, and Oracle to expand its capabilities. OpenAI is also selling $6 billion in stock at a $500 billion valuation. The company recently released ChatGPT-5, its newest AI model.
AI analysts recommend these 3 stocks now
AI analysts recommend watching Navios Maritime Partners, Delta Air Lines, and Sunlands Online Education Group. Navios Maritime Partners has a Buy rating due to its finances and valuation, but faces revenue concerns. Delta Air Lines has a Buy rating because of its financial recovery and cost management. Sunlands Online Education Group has a Buy rating due to technical indicators and valuation.
Sources
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- AI stocks take a kicking
- The AI report triggering panic and fear on Wall Street
- U.S. Tech Stocks Plunge 3.5% Amid AI Bubble Fears
- 2 "AI Filtered" Plays Every Investor Needs Now
- Databricks CEO says fresh $1B will help him attack a new AI database market
- ZoomInfo's Strategic Pivot: Can AI and Upmarket Growth Sustain Long-Term Profitability?
- Sam Altman warns of AI hype bubble, doubles down on OpenAI’s trillion-dollar vision
- Nebius Vaults 200% Vs CoreWeave: The AI Trade That Defies Logic? - CoreWeave (NASDAQ:CRWV), Nebius Group (NASDAQ:NBIS)
- OpenAI logged its first $1 billion month but is still 'constantly under compute,' CFO says
- NMM, DAL, STG: 3 AI Analyst Stocks to Watch Now, 8/20/25
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